3-8A LO 3 See Example 3-5 on page 3-13 Ralph Henwood was paid a salary of $64,600 during 20- by Odesto Company. In addition, during the year Hen- wood started his own business as a public accountant and reported a net business income of $80,000 on his income tax return for 20--. Compute the following: . a. The amount of FICA taxes that was withheld from his earnings during 20- by Odesto Company. SHOW ME HOW b. Henwood's self-employment taxes on the income derived from the public accounting business for 20--. OASDI HI OASDI HI 5555

3-8A LO 3 See Example 3-5 on page 3-13 Ralph Henwood was paid a salary of $64,600 during 20- by Odesto Company. In addition, during the year Hen- wood started his own business as a public accountant and reported a net business income of $80,000 on his income tax return for 20--. Compute the following: . a. The amount of FICA taxes that was withheld from his earnings during 20- by Odesto Company. SHOW ME HOW b. Henwood's self-employment taxes on the income derived from the public accounting business for 20--. OASDI HI OASDI HI 5555

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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verlay/Index 6. Use the figure below. George Clinton works for a company that uses a percentage method to compute the income tax withheld. Clinton is single and claims one allowance. The weekly withholding for each allowance is $61.54. He earns $421 a week. Find the amount of income tax withheld. SINGLE PERSONS-WEEKLY PAYROLL PERIOD If the amount of wages (after subtracting withholding allowances) is: withheld shall be Under $51- The amount of income tax to be Over - But not over - of excess over- $51 S188 10% $51 $188 $606 $13.70 plus 15% $188 $606 $1,341 Clarion University of Penneyvania $76.40 plus 25% $606 OA $25.72 B $39.42 OC $53.92 D $67.62
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