Mike Dooley's Regular Hourly Wage Is $16 an Hour

question 27

Essay

Mike Dooley's regular hourly wage is $16 an hour. He receives overtime pay at the rate of time and a half. The FICA tax rate is 7.65%. Mike is paid every two weeks. For the first pay period in January, Mike worked 86 hours of which 6 were overtime hours. Mike's federal income tax withholding is $350 and his state income tax withholding is $110. Mike has authorized that $50 Instructions
Compute Mike Dooley's gross earnings and net pay for the pay period showing each payroll deduction in arriving at net pay.

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Definitions:

Diversifiable Risk

Is the type of investment risk that can be reduced through diversification of a portfolio, related to specific factors affecting individual companies or sectors.

Market Rewards

The returns or gains that investors expect to earn from their investments in the financial markets.

Non-diversifiable Risks

Risks that affect all investments across the market and cannot be mitigated through diversification.

Financial Markets

Marketplaces where individuals and entities can trade financial securities, commodities, and other fungible items of value at low transaction costs and at prices that reflect supply and demand.