The current Federal Unemployment Taxes (FUTA) tax rate is 0.6%, and the State Unemployment Taxes (SUTA) tax rate is 5.4%. Both taxes are applied to the first $7,000 of an employee's pay. Assume that an employee earned total wages of $3,060 in the current period and had cumulative pay for prior periods of $6,120. What is the amount of unemployment taxes the employer must pay on this employee's wages for the current period? Multiple Choice O $420.00. $367.20. $52.80. $183.60. $0.00.
The current Federal Unemployment Taxes (FUTA) tax rate is 0.6%, and the State Unemployment Taxes (SUTA) tax rate is 5.4%. Both taxes are applied to the first $7,000 of an employee's pay. Assume that an employee earned total wages of $3,060 in the current period and had cumulative pay for prior periods of $6,120. What is the amount of unemployment taxes the employer must pay on this employee's wages for the current period? Multiple Choice O $420.00. $367.20. $52.80. $183.60. $0.00.
Chapter9: Payroll, Estimated Payments, And Retirement Plans
Section: Chapter Questions
Problem 16MCQ
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Transcribed Image Text:The current Federal Unemployment Taxes (FUTA) tax rate is 0.6%, and the State
Unemployment Taxes (SUTA) tax rate is 5.4%. Both taxes are applied to the first $7,000 of an
employee's pay. Assume that an employee earned total wages of $3,060 in the current
period and had cumulative pay for prior periods of $6,120. What is the amount of
unemployment taxes the employer must pay on this employee's wages for the current
period?
Multiple Choice
$420.00.
$367.20.
$52.80.
O $183.60.
$0.00.
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