Final answer:
The net amount paid to employees for the month is calculated by subtracting income tax and employees' national insurance from the gross pay. The correct calculation gives us £86,840, which indicates that option D is the right answer.
Step-by-step explanation:
To calculate the net amount paid to employees for the month, we need to subtract deductions such as income tax and employees' national insurance from the gross pay. The employer's national insurance is a cost to the employer rather than a deduction from the employees' gross pay, so it is not deducted in this calculation.The gross pay is £112,450. We subtract the income tax deducted (£15,800) and the employees' national insurance (£9,810) from this amount to get the net pay.Therefore, the calculation is:£112,450 (Gross Pay) - £15,800 (Income Tax) - £9,810 (Employees' National Insurance) = £86,840 (Net Amount Paid to Employees).So the net amount paid to employees for the month is £86,840, which corresponds to option D.
The net amount paid to employees for the month can be calculated by subtracting the income tax deducted, employees' national insurance, and employer's national insurance from the gross pay. Net amount paid to employees = Gross pay - Income tax deducted - Employees' national insurance - Employer's national insuranceNet amount paid to employees = £112,450 - £15,800 - £9,810 - £11,200Net amount paid to employees = £75,640Therefore, the net amount paid to employees for the month is £75,640.