Managers are paid a weekly salary, while servers are paid an hourly wage. In addition to employee compensation, the employer is responsible for payroll tax equal to 7.5% of compensation. Complete the following table to calculate the weekly compensation and payroll tax paid by the employer. Remember that servers work 10 hours per week. Employee Type Quantity Manager Server 2 15 Wage $580/week $10/hour Total $ 1160 $ 1500 $ 2660 Compensation Payroll Tax @ 7.5% $ 84.00 112.50 196.50

PAYROLL ACCT.,2019 ED.(LL)-TEXT
19th Edition
ISBN:9781337619783
Author:BIEG
Publisher:BIEG
Chapter2: Computing Wages And Salaries
Section: Chapter Questions
Problem 8PB
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By how much would total payroll (compensation plus tax) increase in the previous question if the government imposed a new minimum wage of $15/hour and the managers’ wages increased by the same proportion as the servers’ wages?

QUESTION 6
Managers are paid a weekly salary, while servers are paid an hourly wage. In addition to employee compensation, the employer is responsible for payroll tax equal to 7.5% of
compensation. Complete the following table to calculate the weekly compensation and payroll tax paid by the employer. Remember that servers work 10 hours per week.
Employee Type Quantity
Manager
Server
2
15
Wage
$580/week $
$10/hour
Total
1160
$ 1500
2660
Compensation
$
$
Payroll Tax @ 7.5%
84.00
112.50
196.50
Transcribed Image Text:QUESTION 6 Managers are paid a weekly salary, while servers are paid an hourly wage. In addition to employee compensation, the employer is responsible for payroll tax equal to 7.5% of compensation. Complete the following table to calculate the weekly compensation and payroll tax paid by the employer. Remember that servers work 10 hours per week. Employee Type Quantity Manager Server 2 15 Wage $580/week $ $10/hour Total 1160 $ 1500 2660 Compensation $ $ Payroll Tax @ 7.5% 84.00 112.50 196.50
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