Question

Score skateboard company is a small firm that designs and manufactures skateboards for high school and collage students who want effective fast transpiration around campus. score has two employees who receive $1,100 gross pay semimonthly pay period and four employees who receive $150 gross pay per semimonthly pay period. the company owner and manager, Christie needs to determine how much to include in her budget for each employees. starting in January score will be contributing $75 per pay period to each employees retirement fund.
a. calculate the cost to score for an employee with $1,100 gross pay in the first pay period in January.


b. calculate the cost to score for an employee with $850 gross pay in the first pay period in January.


c. Calculate the total gross pay semimonthly pay for all six employees.

Answer 1

Answer:

a.  $1553

b.  $1,303

c.  $5,618

Explanation:

SUTA is 5.4% for employees if the total salary is below $7,000

In the provided scenario the salary is less than that as $7,000/6 employees = $1,167 each employee. The maximum salary is $1,100 in the scenario.

a.

SUTA = $7,000 * 5.4%

SUTA = $378

Retirement Fund = $75

Gross Salary = $1,100

$378 + $75 + $1,100 = $1553

b.

SUTA = $7,000 * 5.4%

SUTA = $378

Retirement Fund = $75

Gross Salary = $850

$378 + $75 + $850 = $1,303

c.

SUTA = $7,000 * 5.4%

SUTA = $378 * 6 employees

SUTA = $2,268

Retirement Fund = $75 * 6 employees

Retirement Fund = $450

Gross Salary = $150 * 4 employees

Gross Salary = $600

Gross Salary = $1,150 * 2 employees

Gross Salary = $2,300

Total Gross Salary = $2,900

Total Gross Pay = $2,268 + $450 + $2,900

Total Gross Pay = $5,618