Berkley's Gross Pay for the Month Is $5,400

question 118

Multiple Choice

Berkley's gross pay for the month is $5,400. His deduction for federal income tax is based on a rate of 18%. He has no voluntary deductions. His yearly pay is under the limit for OASDI. What is the amount of Berkley's net pay? (Assume a FICA-OASDI Tax of 4.2% and FICA-Medicare Tax of 1.45%.)

• A)$4,122.90
• B)$5,400.00
• C)$5,094.90
• D)$4,428.00

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