USE THE TAX TABLE PROVIDED BELOW FOR THE FOLLOWING PROBLEM(S)

question 65

Multiple Choice

USE THE TAX TABLE PROVIDED BELOW FOR THE FOLLOWING PROBLEM(S)

-Refer to Exhibit 2.1. What is the tax liability for a married couple filing jointly with taxable income of $125,000?

• A) $23,800
• B) $18,427
• C) $24,958
• D) $16,867
• E) $19,650

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Definitions:

Kitchen Salaries

The total amount of wages paid to employees working in a kitchen over a specific period.

Federal Income Tax

A tax levied by the U.S. government on the annual earnings of individuals, corporations, trusts, and other legal entities.

FICA Taxes

Federal Insurance Contributions Act taxes, which fund Social Security and Medicare, required deductions from employees' paychecks and matched by employers.

FICA Taxes

Federal taxes in the United States that fund Social Security and Medicare, required to be withheld from an employee's paycheck.