Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

image text in transcribed

could I get some help with the attached problems please

image text in transcribed 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 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. During the year, Zeno Company has a SUTA tax rate of 6.3%. The taxable payroll for the year for FUTA and SUTA is $77,000. Compute: 2. 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 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 Yengling Company's payroll for the year is $593,150. Of this amount, $211,630 is for wages paid in excess of $7,000 to each individual employee. The SUTA rate in Yengling Company's state is 2.9% on the first $7,000 of each employee's earnings. Compute: Round your answers to the nearest cent. 3. 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 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 Garrison Shops had a SUTA tax rate of 2.7%. The state's taxable limit was $8,000 of each employee's earnings. For the year, Garrison Shops had FUTA taxable wages of $77,900 and SUTA taxable wages of $93,900. Compute: Round your answers to the nearest cent. 4. 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 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. Due to its experience rating, Ianelli, Inc., is required to pay unemployment taxes on its payroll as follows: 1. Under SUTA for New Mexico on taxable payroll of $28,000, the contribution rate is 3.9%. 2. Under SUTA for Colorado on taxable payroll of $23,000, the contribution rate is 2.95%. 3. Under SUTA for Utah on taxable payroll of $65,000, the contribution rate is 4.1%. 4. Under FUTA, the taxable payroll is $94,500. Compute the following; round your answers to the nearest cent. 5. 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 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. Cowen Company began its operations in August of the current year. During August and September, the company paid wages of $2,450. For the last quarter of the year, the taxable wages paid amounted to $3,900. None of the employees were paid more than $7,000 this year. 6. 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 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 In September 2016, Painter Wax Corporation began operations in a state that requires new employers of one or more individuals to pay a state unemployment tax of 4.1% of the first $7,000 of wages paid each employee. An analysis of the company's payroll for the year shows total wages paid of $212,640. The salaries of the president and the vice president of the company were $25,000 and $15,000, respectively, for the four-month period, but there were no other employees who received wages in excess of $7,000 for the four months. Included in the total wages were $900 paid to a director who only attended director meetings during the year, $6,300 paid to the factory superintendent, and $2,000 in employee contributions to a cafeteria plan made on a pretax basis-for both federal and state. In addition to the total wages of $212,640, a payment of $2,000 was made to Andersen Accounting Company for an audit it performed on the company's books in December 2016. Compute the following; round your answers to the nearest cent. 7. In April of the current year, Steelman Press Company transferred Ken Sherm from its factory in Louisiana to its plant in Florida. The company's SUTA tax rates based on its experience ratings are 3.2% in Louisiana and 3.8% in Florida. The taxable wage limits are $7,700 in Louisiana and $7,000 in Florida. This year, Steelman Press Company paid Ken Sherm wages of $14,190; $4,950 were paid in Louisiana and the remainder in Florida. Compute the following; round your answers to the nearest cent. 8. During 2016, Jake Gore worked for two different employers. Until May, he worked for Wonderman Construction Company in Kansas City, Kansas, and earned $21,500. The state unemployment rate for Wonderman is 4.6%. He then changed jobs and worked for Buxmont Improvement Company in Mobile, Alabama, and earned $33,100 for the rest of the year. The state unemployment rate for Buxmont is 5.1%. Determine the unemployment taxes (FUTA and SUTA) that would be paid by each company. 9. Roofling Company paid wages of $319,600 this year. Of this amount, $193,900 was taxable for net FUTA and SUTA purposes. The state's contribution tax rate is 4.3% for Roofling Company. Due to cash flow problems, the company did not make any SUTA payments until after the Form 940 filing date. Compute the following; round your answers to the nearest cent. 10. The following unemployment tax rate schedule is in effect for the calendar year 2016 in State A, which uses the reserve ratio formula in determining employer contributions Conrad Company, which is located in State A, had an average annual payroll of $1,150,000 for the three 12month periods ending on June 30, 2015 (the computation date for the tax year 2016). As of June 30, 2015, the total contributions that had been made to Conrad Company's reserve account, in excess of the benefits charged, amounted to $21,560. Compute the following: 11. . As of June 30, 2015 (the computation date for the 2016 tax rate), Amanda Company had a negative balance of $1,015 in its unemployment reserve account in State A. The company's average payroll over the last three 12-month periods amounted to $525,000. The unemployment compensation law of State A provides that the tax rate of an employer who has a negative balance on the computation date shall be 7.2% during the following calendar year. Using the tax rate schedule presented below, compute the following: 12.Applebaum Security Company is located in State H, which enables employers to reduce their contribution rates under the experience-rating system. From 2002 to 2011, inclusive, the company's total contributions to state unemployment compensation amounted to $18,135. For the calendar years 2012 to 2015, inclusive, the contribution rate for Applebaum was 3.7%. The contributions of each employer are credited to an account maintained by the State Unemployment Compensation Commission. This account is credited with contributions paid into the account by the employer and is charged with unemployment benefits that are paid from the account. Starting January 1, 2016, the contributions rate for all employers in State H will be based on the following tax-rate schedule: The annual payroll for calculation purposes is the total wages payable during a 12-month period ending with the last day of the third quarter of any calendar year. The average annual payroll is the average of the last three annual payrolls. The SUTA tax rate for the year is computed using the information available (benefits received and taxes paid) as of September 30 of the preceding year. The schedule below shows the total payroll and the taxable payroll for the calendar years 2012 to 2015. Unemplo yment benefits became payable to the company's qualified unemployed workers on January 1, 2002. Between that time and September 30, 2015, total benefits amounting to $23,194.15 were charged against the employer's account. Hint: First total each year's taxable payroll. Using those numbers and SUTA rate you can figure out how much has been paid into the reserve from 2002-2015 and deduct benefits paid to get the balance in the reserve account as of 9/30. Compute rate for 2016 by dividing balance in reserve by average of last three years payroll. In your computations, round amounts to the nearest cent. When required, round your final percentage answers to one decimal place. 13. As the accountant for Monroe Trucking Company, you are preparing the company's annual return, Form 940 and Schedule A. Use the following information to complete Form 940 and Schedule A. The net FUTA tax liability for each quarter of 2016 was as follows: 1st, $97.00; 2nd, $87.00; 3rd, $69.70; and 4th, $59.50. Since the net FUTA tax liability did not exceed $500, the company was not required to make its first deposit of FUTA taxes until January 31, 2017. Assume that the electronic payment was made on time. a. One of the employees performs all of his duties in another stateLouisiana. b. Total payments made to employees during calendar year 2016: Texas Louisiana Total $53,450 22,150 $75,600 c. Employer contributions into employees' 401(k) retirement plan: $1,250. d. Payments made to employees in excess of $7,000: $22,150. e. Form is to be signed by Vernon Scott, Vice President. f. Phone number (834) 555-5551. If an input box does not require an entry, leave it blank. When required, round amounts to the nearest cent

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction to Managerial Accounting

Authors: Peter C. Brewer, Ray H Garrison, Eric Noreen

8th edition

1259917061, 978-1259917066

More Books

Students also viewed these Accounting questions

Question

Always show respect for the other person or persons.

Answered: 1 week ago