M10-3 Calculating Net Pay and Total Payroll Costs [LO 10-2] Lightning Electronics is a midsize manufacturer of lithium batteries. The company's payroll records for the November 1-14 pay period show that employees earned wages totaling $65,000 but that employee income taxes totaling $8,500 and FICA taxes totaling $3,375 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 $400 of unemployment taxes for this pay period, what amount would be reported as the total payroll costs? 1. Net Pay 2. Total Payroll Costs