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During the first week of February, Gabe Hopen earned $300.  Assume that FICA taxes are 7.65 percent of wages up to $106,800, state unemployment tax is 5.0 percent of wages up to $13,000, and federal unemployment tax is 0.8 percent of wages up to $13,000.  Assume that Gabe has voluntary withholdings of $10 (in addition to taxes) and that federal and state income tax withholdings are $18 and $6, respectively.   Using the information above, what is the employer's payroll tax expense for the week, assuming that Gabe Hopen is the only employee? Group of answer choices $24.00 $17.40 $28.00 $40.35

During the first week of February, Gabe Hopen earned $300.  Assume that FICA taxes are 7.65 percent of wages up to $106,800, state unemployment tax is 5.0 percent of wages up to $13,000, and federal unemployment tax is 0.8 percent of wages up to $13,000.  Assume that Gabe has voluntary withholdings of $10 (in addition to taxes) and that federal and state income tax withholdings are $18 and $6, respectively.   Using the information above, what is the employer's payroll tax expense for the week, assuming that Gabe Hopen is the only employee? Group of answer choices $24.00 $17.40 $28.00 $40.35

FINANCIAL ACCOUNTING
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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During the first week of February, Gabe Hopen earned $300.  Assume that FICA taxes are 7.65 percent of wages up to $106,800, state unemployment tax is 5.0 percent of wages up to $13,000, and federal unemployment tax is 0.8 percent of wages up to $13,000.  Assume that Gabe has voluntary withholdings of $10 (in addition to taxes) and that federal and state income tax withholdings are $18 and $6, respectively.

 

Using the information above, what is the employer's payroll tax expense for the week, assuming that Gabe Hopen is the only employee?

Group of answer choices
$24.00
$17.40
$28.00
$40.35 
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