Lightning Electronics is a midsize manufacturer of lithium batteries. The companys payroll records for the November 114 pay period show that employees earned wages totaling $68,000 but that employee income taxes totaling $8,800 and FICA taxes totaling $3,525 were withheld from this amount. The net pay was directly deposited into the employees bank accounts.

Required:

1. What was the amount of net pay?

2. Assuming Lightning Electronics also must pay $430 of unemployment taxes for this pay period, what amount would be reported as the total payroll costs?