Cappy Scanlan manages the women's sportswear department of Parisian Department Store in Seattle. She earns a base

Question:

Cappy Scanlan manages the women's sportswear department of Parisian Department Store in Seattle. She earns a base monthly salary of \(\$ 750\) plus a \(10 \%\) commission on her personal sales. Through payroll deductions, Scanlan donates \(\$ 25\) per month to a charitable organization, and she authorizes Parisian to deduct \(\$ 50\) monthly for her co-pay of health insurance. Tax rates on Scanlan's earnings are \(12 \%\) for income tax and \(8 \%\) of the first \(\$ 90,000\) for FICA. During the first 11 months of the year, she earned \(\$ 87,000\).

Requirement 

Compute Scanlan's gross pay and net (take-home) pay for December, assuming her sales for the month are \(\$ 80,000\). 

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Accounting

ISBN: 9780132439602

7th Edition

Authors: Charles T. Horngren, Walter T. Harrison

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