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13. Example 5-: Parlone Company has paid wages of $4,000 to an employee in State A. During the year, the employee is transferred to State

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13. Example 5-: Parlone Company has paid wages of $4,000 to an employee in State A. During the year, the employee is transferred to State B, which has a $7,000 taxable salary limitation for Its statse unemployment tax. The company has a credit of $4,000 against this $7,000 limit. Thus, the company has to pay State B's unemployment tax on only the next $3,000 of wages earned by that worker in State B during the remainder of the calendar year. In April of the current year, Freeman Steel Company transferred Herb Porter from its factory in Nebraska to its plant in Michigan. The company's SUTA tax rates based on its experience ratings are 3.2% in Nebraska and 3.8% in Michigan. 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 Michigan. Compute the following: a. Amount of sum tax the company must pay to Nebraska on Porter's wages s D b. Amount of SUTA tax the company must pay to Michigan on Porter's wages $ U 1:. Amount of the net FUTA tax on Porter's wages $

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