An employee receives an hourly wage rate of $25, with time and a half for all hours worked in excess of 40 during the week. Payroll data for the current week are as follows: hours worked, 42; federal income tax withheld, $147; cumulative earnings for the year prior to this week, $25,044; social security tax rate, 6.0%; Medicare tax rate, 1.5%; state unemployment compensation tax, 3.4% on the first $7,000; and federal unemployment compensation tax, 0.8% on the first $7,000. What is the net amount to be paid to the employee? Round your answer to the nearest cent. a.$1,575.00 b.$822.38 c.$847.38 d.$1,075.00
An employee receives an hourly wage rate of $25, with time and a half for all hours worked in excess of 40 during the week. Payroll data for the current week are as follows: hours worked, 42; federal income tax withheld, $147; cumulative earnings for the year prior to this week, $25,044; social security tax rate, 6.0%; Medicare tax rate, 1.5%; state unemployment compensation tax, 3.4% on the first $7,000; and federal unemployment compensation tax, 0.8% on the first $7,000. What is the net amount to be paid to the employee? Round your answer to the nearest cent. a.$1,575.00 b.$822.38 c.$847.38 d.$1,075.00
College Accounting (Book Only): A Career Approach
12th Edition
ISBN:9781305084087
Author:Cathy J. Scott
Publisher:Cathy J. Scott
Chapter8: Employer Taxes, Payments, And Reports
Section: Chapter Questions
Problem 7E: On September 30, Hilltop Companys selected payroll accounts are as follows: Prepare general journal...
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An employee receives an hourly wage rate of $25, with time and a half for all hours worked in excess of 40 during the week. Payroll data for the current week are as follows: hours worked, 42; federal income tax withheld, $147; cumulative earnings for the year prior to this week, $25,044; social security tax rate, 6.0%; Medicare tax rate, 1.5%; state
a.$1,575.00
b.$822.38
c.$847.38
d.$1,075.00
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