**Problem Statement:**Renee is a salaried exempt employee who earns an annual salary of $63,120, which is paid semimonthly. She is married with four withholding allowances. What is her total FICA tax liability per pay period? *(Do not round intermediate calculations. Round your final answer to 2 decimal places.)***Multiple Choice Answers:**- $163.06- $38.14- $201.20**Explanation:**The image presents a multiple-choice question regarding Renee's FICA tax liability. The calculation involves understanding tax rates and semimonthly payment divisions for an annual salary. The answer options suggest evaluating different tax amounts based on the provided data.

Salary per pay period=63120/24=2630SST rate=6.2% Medicare tax=1.45% FICA withholding tax rate=6.2+1.45 =7.65% Total FICA tax liability of employee=2630*7.65% =201.2 Option C is correct.

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Accounting

Renee is a salaried exempt employee who earns an annual salary of $63,120, which is paid semimonthly. She is married with four withholding allowances. What is her total FICA tax liability per pay period? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Renee is a salaried exempt employee who earns an annual salary of $63,120, which is paid semimonthly. She is married with four withholding allowances. What is her total FICA tax liability per pay period? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

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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