Question: Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers. In April of the current year, Freeman Steel

Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers.

In April of the current year, Freeman Steel Company transferred Herb Porter from its factory in Nebraska to its plant in Ohio. The company's SUTA tax rates based on its experience ratings are 3.2% in Nebraska and 3.8% in Ohio. Both states base the tax on the first $9,000 of each employee's earnings. This year, Freeman Steel Company paid Herb Porter wages of $20,900; $2,800 were paid in Nebraska and the remainder in Ohio. Compute the following: round your answers to the nearest cent.

a. Amount of SUTA tax the company must pay to Nebraska on Porter's wages $

b. Amount of SUTA tax the company must pay to Ohio on Porter's wages $

c. Amount of the net FUTA tax on Porter's wages (Ohio is a credit reduction state-1.5%.) $

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Since the SUTA rates changes are made at the end of each year and there is much discussion about changes to the FUTA rate, the available 2016 rates were used for FUTA and SUTA. Note: For this...

Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers. Example 5-8 1. Iqbal Company of Georgia had a FUTA taxable payroll of $215,600 and a SUTA taxable payroll...

Since the SUTA rates changes are made at the end of each year and there is much discussion about changes to the FUTA rate, the available 2017 rates were used for FUTA and SUTA. Note: For this...

Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers. Example 5-6 The Iqbal Company of Georgia had a FUTA taxable payroll of $215,600 and a SUTA taxable payroll...

Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers. In April of the current year, Freeman Steel Company transferred Herb Porter from its factory in Nebraska to...

could I get some help with the attached problems please Since the SUTA rates changes are made at the end of each year and there is much discussion about changes to the FUTA rate, the available 2015...

available 2017 rates were used for FUTA and SUTA. Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers. Example 5-10 The following unemployment tax rate schedule...

In December 1999, Wilson applied for a Citibank credit card and signed an acceptance certificate in which she agreed to be bound by the terms and conditions of the credit card agreement. Citibank...

What is meant when its said that a manager must be able to diagnose intergroup conflict situations? How can a manager obtain these diagnostic skills?

David is evaluating an investment contract to secure consistent monthly payments for the next 1 2 years. If the contract promises month - end payments of $ 6 5 0 over this period, and David requires...

Question 2 4 requires completion of nearly all the terms of the contract plus an honest effort to complete the rest of the terms, coupled with no willful departure from any of the terms. Complete...

5. Discuss at least four procedural suggestions for managing dismissals effectively.pg 87

1. Is Jennifer right about the need to evaluate the workers formally? The managers? Why or why not?pg 87

1. Describe a comprehensive approach to retaining employees.pg 87