## Current Liabilities and Payroll , Accounting, Basic Statistics

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Prior to the last payroll period of the calendar year, the cumulative earnings of Employer A were \$105000. The earnings for the last payroll period of the year which will be paid on December 30, are 3500. The Social Security tax is 6% on the first \$100,000 of the annual earnings, and the Medicare tax rate is 1.5% on all earnings. What is the employers total FICA tax on the salary?

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