Could someone please walk me through this attached problem. The state unemployment tax rate is 2.95% on the first $9000.

Keenan and Kludlow Partnership Compute: Payroll: Salaries Due: State Rate SUTA Base M. Keenan (Partner) S. Kludlow (Partner) N. Perry (Supervisor) T. Lee (Factory worker) R. Rolf (Factory worker) D. Broch (Factory worker) S. Ruiz (Bookkeeper) C. Rudolph (Maitenance) FUTA Base $ 85,000.00 75,000.00 53,000.00 34,600.00 29,800.00 6,900.00 25,400.00 5,100.00 Net FUTA Tax: Gross Payroll: Less nontaxable payroll Less wages over base Net payroll Net FUTA tax rate Net FUTA tax Net SUTA Tax: Gross Payroll: Less nontaxable payroll Less wages over base Net payroll Net SUTA tax rate Net SUTA tax 200.00 2.95% Total Payroll Non-taxable payroll Taxable Wage Base FUTA $ SUTA $ - K. K Partnership firm has the following information during this year. Employee Name Designation Total wages ($) Mr. M.K Partner 85,000 Mr. S.K Partner 75,000 Mr. N.P Supervisor 53,000 Mr. T.L Factory worker 34,600 Mr. R.R Factory worker 29,800 Mr. D.B Factory worker 6,900 Mr. S.R Bookkeeper 25,400 Mr. C.R Maintenance 5,100 SUTA (State Unemployment tax Act) Tax rate = 2.95% on the first $9,000 of each employee' earnings. FUTA (Federal Unemployment tax Act) Tax rate = 6.2% (a) Compute the net FUTA tax of K. K Partnership firm of this year. Step 1: Compute the Total Taxable wages of employee's for FUTA and SUTA as below: If the wage base of the employee is- Less than $9,000, then, the total wages are considered as taxable wages for FUTA and SUTA tax. Equals or exceeds $9,000 then, the first $9,000 is considered as taxable wages. Employee Name Designation Total wages ($) Taxable wages ($) Mr. N.P Supervisor 53,000 9,000 Mr. T.L Factory worker 34,600 9,000 Mr. R.R Factory worker 29,800 9,000 Mr. D.B Factory worker 6,900 6,900 Mr. S.R Bookkeeper 25,400 9,000 Mr. C.R Maintenance 5,100 5,100 154,800 48,000 Total Step 2: Compute the amount of Gross FUTA Tax: Total taxable salary of K.K. Partnership Firm for FUTA Tax = $48,000 FUTA tax rate = 6.2% Step 3: Compute the credit for the SUTA tax paid: Total taxable salary of K.K. Partnership Firm for SUTA tax = $48,000 SUTA tax rate = 2.95% Step 4: Compute the amount of additional credit to get to a maximum of 5.4%: Step 5: Compute the total amount of credit to be deducted from Gross FUTA tax: Step 6: Compute the amount of Net FUTA tax: (b) Compute Net SUTA tax for K.K. Partnership Firm as follows: Total taxable salary of K.K.Partnership Firm for SUTA Tax = $48,000 SUTA tax rate = 2.95% When calculating FUTA taxes for a partnership, you do not include payments made to the partners. All other wages paid, the partnership is only responsible for paying FUTA taxes on the first $7,000 paid to everyone except the partners. (a) Gross Payroll $314,800 Less: Partnership pay (160,000 ) Amount of salaries above $7,000* (114,800 ) Taxable Payroll $40,000 P (53,000-7,000) L (34,600 - 7,000) R ($29,800 - 7,000) B 6,900 R (25,400 -7,000) R 5,100 (b) In this case the SUTA tax is taken on the first $9,000 so you cannot use the same taxable payroll that you used for FUTA. You will still deduct the partnership pay as you did in the FUTA calculation. Gross Payroll $314,800 Less: Partnership pay (160,000 ) Amount of salaries above $9,000* (106,800 ) Taxable payroll $48,000 P (53,000-9,000) L (34,600 - 9,000) R ($29,800 - 9,000) B 6,900 R (25,400 -9,000) R 5,100