On June 15,Bob Love earned $5,000 and has the following deductions: FICA-OASDI 6.2%,FICA-Medicare 1.45%;federal income tax of $300;and state income tax $40.What is his net pay?
A)$3,400
B)$4,277.50
C)$4,454
D)$$5,000

Question

Quizplus · Accepted Answer

First, we need to find the total deductions:

FICA-OASDI: 6.2% * $5,000 = $310
FICA-Medicare: 1.45% * $5,000 = $72.50
Federal income tax: $300
State income tax: $40

Total deductions = $722.50 + $300 + $40 = $1,062.50

Now we can find the net pay:

Net pay = $5,000 - $1,062.50 = $3,937.50

Therefore, the answer is B.

On June 15,Bob Love Earned $5,000 and Has the Following $$5,000