Mattola Company is giving each of its employees a holiday bonus of $725 on December 13, 20-- (a nonpayday). The company wants each employee's check to be $725. The supplemental tax percent is used. Nobody has capped for OASDI prior to the bonus check. a.

A)What will be the gross amount of each bonus if each employee pays a state income tax of 2.8% (besides the other payroll taxes)? You may need to add one penny to the gross so that net bonus exactly equals $725. Round your calculations and final answers to the nearest cent. $fill in the blank 1

b. What would the net amount of each bonus check be if the company did not gross-up the bonus? Round your intermediary calculations to the nearest cent. $fill in the blank 2