ch 9

20. Dave O'Bannon earns $48,950 annually as a line supervisor for Redwood Manufacturers.

If required, round your answers to the nearest cent.

a. If the SUTA tax rate is 5.4% of the first $9,000 earned in a year, how much SUTA tax must Redwood pay each year for Dave?

$

b. If the FUTA tax rate is 6.0% of the first $9,000 earned in a year minus the SUTA tax paid, how much FUTA tax must the company pay each year for Dave?

$