Bobby Darling is the only employee of Atlantic Records, Inc.During the first week of January, Darling earned $800 and had federal and state income tax withholdings of $40 and $15, respectively.FICA taxes are 7.65% on earnings up to $117,000.State and federal unemployment taxes for the period are $50 and $8, respectively.
-Use the information above to answer the following question.What would be the amount of Darling's payroll check for the first week of January?
A) $683.80
B) $741.80
C) $628.80
D) $625.80

Question

Quizplus · Accepted Answer

Darling's gross pay is $800. Federal income tax withholding is $40, state income tax withholding is $15, FICA taxes are $61.08 (7.65% x $800), state unemployment tax is $50, and federal unemployment tax is $8. Total deductions are $174.08 ($40 + $15 + $61.08 + $50 + $8). Darling's net pay is $625.92 ($800 - $174.08).

Bobby Darling Is the Only Employee of Atlantic Records, Inc