Hollow Company Provides You with Following Information for Two of Its

Essay

Hollow Company provides you with following information for two of its employees. The company is subject to the following taxes.
$$\begin{array} { | l | l | l | } \hline \text { Tax} & \text { Rate } & \text { Applied To } \\\hline \text { FICA-Social Security } & 6.20 \% & \text { First \$118,500 } \\\hline \text { FICA-Medicare } & 1.45 \% & \text { All gross pay } \\\hline \text { FUTA } & 0.60 \% & \text { First \$7,000 } \\\hline \text { SUTA } & 3.20 \% & \text { First } \$ 7,000 \\\hline\end{array}$$ Compute amounts for each of these four taxes as applied to each employee's gross earnings for November.
$$\begin{array} { | l | l | } \hline \text { Gross Pay through October } & \text { Gross Pay for November } \\\hline \text { a. } \$ 6,400 & \$ 2,000 \\\hline \text { b. } \$ 112,000 & \$ 9,400 \\\hline\end{array}$$