1: Jay Monroe (single; 2 federal withholding allowances) earned weekly gross pay of $1,085. For each period, he makes a 401(k) retirement plan contribution of 11% of gross pay. The city in which he works (he lives elsewhere) levies a tax of 2.5% of an employee's taxable pay (which is the same for federal and local income tax withholding) on residents and 1.75% of an employee's taxable pay on nonresidents. Federal income tax withholding = $  State income tax withholding = $  Local income tax withholding = $ 17.13 2: Gus Damon (married; 9 federal withholding allowances) earned weekly gross pay of $1,240. He contributes $140 to a flexible spending account during the period. The city in which he lives and works levies a tax of 2.8% of an employee's taxable pay (which is the same for federal and local income tax withholding) on residents and 0.30% of an employee's taxable pay on nonresidents. Federal income tax withholding = $  State income tax withholding = $  Local income tax withholding = $ 30.25 3: Kenneth Riley (single; 0 federal withholding allowances) earned weekly gross pay of $1,100. For each period, he makes a 403(b) retirement plan contribution of 5.4% of gross pay. The city in which he lives and works levies a tax of 1.3% of an employee's taxable pay (which is the same for federal and local income tax withholding) on both residents and nonresidents. Federal income tax withholding = $  State income tax withholding = $  Local income tax withholding = $  4: Ross McMichael (married; 2 federal withholding allowances) earned weekly gross pay of $960. He pays $55 to a cafeteria plan during the period. The city in which he works levies a tax of $7/week on employees who work within city limits. Federal income tax withholding = $  State income tax withholding = $  Local income tax withholding = $ 8.00

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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1: Jay Monroe (single; 2 federal withholding allowances) earned weekly gross pay of $1,085. For each period, he makes a 401(k) retirement plan contribution of 11% of gross pay. The city in which he works (he lives elsewhere) levies a tax of 2.5% of an employee's taxable pay (which is the same for federal and local income tax withholding) on residents and 1.75% of an employee's taxable pay on nonresidents.

Federal income tax withholding = $ 
State income tax withholding = $ 
Local income tax withholding = $ 17.13

2: Gus Damon (married; 9 federal withholding allowances) earned weekly gross pay of $1,240. He contributes $140 to a flexible spending account during the period. The city in which he lives and works levies a tax of 2.8% of an employee's taxable pay (which is the same for federal and local income tax withholding) on residents and 0.30% of an employee's taxable pay on nonresidents.

Federal income tax withholding = $ 
State income tax withholding = $ 
Local income tax withholding = $ 30.25

3: Kenneth Riley (single; 0 federal withholding allowances) earned weekly gross pay of $1,100. For each period, he makes a 403(b) retirement plan contribution of 5.4% of gross pay. The city in which he lives and works levies a tax of 1.3% of an employee's taxable pay (which is the same for federal and local income tax withholding) on both residents and nonresidents.

Federal income tax withholding = $ 
State income tax withholding = $ 
Local income tax withholding = $ 

4: Ross McMichael (married; 2 federal withholding allowances) earned weekly gross pay of $960. He pays $55 to a cafeteria plan during the period. The city in which he works levies a tax of $7/week on employees who work within city limits.

Federal income tax withholding = $ 
State income tax withholding = $ 
Local income tax withholding = $ 8.00

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