In 2012, Mike Elfred Received a $165,000 Salary from His

question 72

Multiple Choice

In 2012, Mike Elfred received a $165,000 salary from his employer and generated $39,000 net earnings from self-employment from his small business. Which of the following statements is true?

• A) Mike does not owe any self-employment tax because his salary exceeded the 2012 base amount ($110,100) for federal employment tax.
• B) Mike owes both the Medicare and Social Security tax portions of self-employment tax on his $39,000 earnings from his small business.
• C) Mike owes Medicare tax but not Social Security tax on his $39,000 earnings from his small business.
• D) Mike owes Social Security tax but not Medicare tax on his $39,000 earnings from his small business.

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Definitions:

Points of Disagreement

Specific areas or topics where opinions or perceptions diverge or conflict between two or more parties.

Listener's Agreement

The act of a listener showing understanding, acceptance, or approval of what is being communicated.

Skilled Active Listeners

Individuals proficient in fully engaging with and understanding spoken communication.

Mirror the Speaker's Feelings

the act of reflecting or showing understanding of the speaker's emotions through verbal or non-verbal cues.