Kole Earns $140,000 in 2017 in His Job as a Sales

question 76

Multiple Choice

Kole earns $140,000 in 2017 in his job as a sales manager.What is his FICA tax?

• A)$9,916
• B)$9,377
• C)$10,710
• D)$9,731

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Definitions:

Preincorporation Subscription

An agreement by an investor to purchase stock in a corporation, made before the corporation is legally formed.

Post Incorporation Subscription

Agreements to purchase stock in a company made after the company has been incorporated.

Corporate Promoters

Individuals or companies that take the initiative in founding and organizing the business of a corporation, including arranging its incorporation and securing capital.

Organization Meeting

The initial meeting where the structure of a new organization is decided, officers are elected, and bylaws are adopted.