Thomas Longbow Is the Only Employee of Presido,Inc

question 4

Multiple Choice

Thomas Longbow is the only employee of Presido,Inc.During the first week of January,Longbow earned $1,600 and had federal and state income tax withholdings of $80 and $30,respectively.FICA taxes are 7.65% on earnings up to $127,200.State and federal unemployment taxes for the period are $100 and $16,respectively. What is Presido's payroll tax expense for the week?

• A)$226.00
• B)$238.40
• C)$348.40
• D)$470.80

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Definitions:

Total Surplus

A combination of consumer and producer surplus that signifies the overall net advantage to society from the consumption and production of a good or service.

International Trade

involves the exchange of goods and services across international borders or territories.

Import/Export

The exchange of goods, services, and capital between different countries or territories, enhancing global economic interdependence.

Total Surplus

The sum of consumer and producer surplus, representing the total benefit to society from the production and consumption of goods and services.