Question
Reserve Ratio Contribution Rate 0.0% or more, but less than 1.0% 6.7% 1.0% or more, but less than 1.2% 6.4% 1.2% or more, but less
Reserve Ratio Contribution Rate 0.0% or more, but less than 1.0% 6.7% 1.0% or more, but less than 1.2% 6.4% 1.2% or more, but less than 1.4% 6.1% 1.4% or more, but less than 1.6% 5.8% 1.6% or more, but less than 1.8% 5.5% 1.8% or more, but less than 2.0% 5.2% 2.0% or more, but less than 2.2% 4.9% 2.2% or more, but less than 2.4% 4.6% 2.4% or more, but less than 2.6% 4.3% 2.6% or more, but less than 2.8% 4.0% 2.8% or more, but less than 3.0% 3.7% 3.0% or more, but less than 3.2% 3.4% 3.2% or more 3.1% Hyram Company, which is located in State A, had an average annual payroll of $870,000 for the three 12-month periods ending on June 30, 2021 (the computation date for the tax year 2022). As of June 30, 2021, the total contributions made to Hyram Company's reserve account, more than the benefits charged, amounted to $18,009. Compute the following:
a. Hyram Company's reserve ratio for 2021. Round your answer to two decimal places. 2.07%
b. 2022 contribution rate for the company. Round your response to one decimal place. 4.9%
c. The company can make the smallest contribution to reducing its tax rate if State A permits voluntary contributions. $fill in the blank 3
d. Tax savings realized by the company, considering the voluntary contribution made in (c) if the taxable payroll in 2022 is $990,000. $fill in the blank 4.
I need help with C&D, please
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started