Ralph Henwood was paid a salary of $64,600 during 20-- by Odesto Company. In addition, during the year Henwood 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. OASDI HI 936.70 ✔ b. Henwood's self-employment taxes on the income deri d from the public accounting business for 20--. OASDI 4,005.20✔ HI 7,762.40 X 2,030.00 X

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Chapter1: Financial Statements And Business Decisions
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Ralph Henwood was paid a salary of $64,600 during 20-- by Odesto Company. In addition, during
the year Henwood 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.
OASDI
HI
OASDI
4,005.20
b. Henwood's self-employment taxes on the income derid from the public accounting business
for 20--.
HI
936.70
7,762.40 X
2,030.00 X
Transcribed Image Text:Ralph Henwood was paid a salary of $64,600 during 20-- by Odesto Company. In addition, during the year Henwood 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. OASDI HI OASDI 4,005.20 b. Henwood's self-employment taxes on the income derid from the public accounting business for 20--. HI 936.70 7,762.40 X 2,030.00 X
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