Match the legislation with its definition
1 answer:
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Answer:
voluntary contribution $97150
Explanation:
data provided:
tax rate: 2.3%
reserve ratio- 8-10%
average payroll = $971,500
Assume voluntary contribution ="X "
From the information given in the question we have
%
here we have taken max reserve ratio i.e. 10%
= $97150
we know that, from the question present contribution minus benefit is equal to $93,500
hence, extra contribution = 97150 - 93500 = $3650
extra contribution = $3650