Andy and Randy operate a handyman business. They have three employees working full time. The total payroll for the year was $105,000 ($35,000 per employee). The total withholdings for the year follow.

Withholding Type

Federal Social Security Medicare State

Employee Paid

$12,600.00 $ 6,510.00 $ 1,522.50 $ 5,250.00

Employer Paid

$ 6,510.00 $ 1,522.50

What amount of the taxes listed above will Andy and Randy be able to deduct on their business return as an expense?

a) $33,915.00 b) $16,065.00 c) $ 8,032.50 d)$ 0