Zolnick Enterprises has two hourly employees: Kelly and Jon. Both employees earn overtime at the rate of 1.5 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $130,000 of wages, and the Medicare tax rate is 15 percent on all earnings. Federal income tax withheld for Kelly and Jon was $245 and $223, respectively, for the first week of January. The following information is for the first week in January, Year 1: Employee Hours Worked Wage Rate per Hour Kelly 54 $20 $25 Jon 49 Required a. & b. Calculate the gross pay and the net pay for each employee for the week. (Round the intermediate calculations and your final answers to 2 decimal places) b. Gross pay Net pay Kelly Jon

Zolnick Enterprises has two hourly employees: Kelly and Jon. Both employees earn overtime at the rate of 1.5 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $130,000 of wages, and the Medicare tax rate is 15 percent on all earnings. Federal income tax withheld for Kelly and Jon was $245 and $223, respectively, for the first week of January. The following information is for the first week in January, Year 1: Employee Hours Worked Wage Rate per Hour Kelly 54 $20 $25 Jon 49 Required a. & b. Calculate the gross pay and the net pay for each employee for the week. (Round the intermediate calculations and your final answers to 2 decimal places) b. Gross pay Net pay Kelly Jon

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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