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Mr. Ramirez, an employee, eamed 539.250 in 1983 (6.70% rate) and $55,750 in 1987 (7.15% rate). How much FICA tax did he pay for the combined years?$6.486.74$6.56432$8.615.88$8.786.90None of these choices are correct

1 Answer

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Answer:

$6615.88

Explanations:

Earning in 1983 = $39250

tax rate in 1983 = 6.70%

Tax paid in 1983 = (6.70/100 x 39250)

Tax paid in 1983 = $2629.75

Earning in 1987 = $55750

Tax rate in 1987 = 7.15%

Tax paid in 1987 = (7.15/100 x 55750)

Tax paid in 1987 = $3986.125

FICA tax paid for the combined years = $2629.75 + $3986.125

FICA tax paid for the combined years = $6615.875

FICA tax paid for the combined years = $6615.88 (to the nearest 2 decimal places )

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