Refer to the facts in the preceding problem. Assume that in the year 2023, the Social Security base amount increases to $150,000. Compute BDF’s 2023 employer payroll tax with respect to Mr. Li assuming that

a. His annual compensation is $60,000.

b. His annual compensation is $200,000.

Data from Application Problems 6

Mr. Li is employed by BDF, Inc. Compute BDF’s 2022 employer payroll tax with respect to Mr. Li assuming that his annual compensation is $60,000. his annual compensation is $200,000.