Question
Portia Grant is an employee who is paid monthly. For the month of January of the current year, she earned a total of $8,688. The
Portia Grant is an employee who is paid monthly. For the month of January of the current year, she earned a total of $8,688. The Federal Insurance Contributions Act (FICA) tax for social security is 6.2% of the first $137,700 earned each calendar year and the Federal Insurance Contributions Act (FICA) tax rate for Medicare is 1.45% of all earnings. The Federal Unemployment Taxes (FUTA) tax rate of 0.6% and the State Unemployment Taxes (SUTA) tax rate of 5.4% are applied to the first $7,000 of an employee's pay. The amount of federal income tax withheld from her earnings was $1,441.57. What is the total amount of taxes withheld from the Portia's earnings?
(Round your intermediate calculations to two decimal places.)
Multiple Choice
a. $1,911.00
b. $3,246.32
c. $2,592.36
d. $2,106.21
e. $1,617.97
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Intermediate Accounting
Authors: James D. Stice, Earl K. Stice, Fred Skousen
17th Edition
032459237X, 978-0324592375
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