Calculate the Social Security and Medicare tax that would be applied to an annual salary of $235,430. Use $106,800 for maximum taxable earnings.
Social Security tax: $1,459.67, Medicare tax: $341.37
b Social Security tax: $14,596.66, Medicare tax: $3,413.70
Social Security tax: $662.16, Medicare tax: $341.37
d Social Security tax: $6,621.60, Medicare tax: $3,413.70

Hi there! The formula for simple interest is prt. That means multiply the principal (initial amount) by the percentage (simple interest rate) by time (could be in months or years. The initial amount in the bank is $450 and the interest rate is 3%. 450 * 3% (0.03) is 13.5. $13.50 is earned in interest each year. 13.5 * 2 is 27. $27 is earned in interest after two years. Let’s add the initial amount to get the total amount. 450 + 27 is 477. There. Ben will have $477 total in the bank after 2 years.