Question 1

In a payroll journal entry, a credit to Federal Withholding Tax Payable indicates

Accepted Answer

A)  Federal taxes have been withheld from the employee and are a liability until paid to the governing agency 
B)  Federal taxes have been paid to the governing agency 
C)  Federal taxes are due to be withheld from the employee 
D)  None of the above 
A)  Federal taxes have been withheld from the employee and are a liability until paid to the governing agency 
B)  Federal taxes have been paid to the governing agency 
C)  Federal taxes are due to be withheld from the employee 
D)  None of the above A

Question 2

Flexible spending plans and 401(k) deductions are normally considered

Accepted Answer

A)  Tax free earnings 
B)  Pre-tax deductions 
C)  Post-tax deductions 
D)  Normal tax deductions 
A)  Tax free earnings 
B)  Pre-tax deductions 
C)  Post-tax deductions 
D)  Normal tax deductions B

Question 3

Match the terms below with the correct definitions.
-Withholding allowances

Accepted Answer

A) FICA taxes 
B) Payroll register 
C) Employer 
D) Gross pay 
E) Workers' compensation laws
F)Employee's withholding allowance certificate (W-4)
G)Exemptions
H)Independent contractor
I)FUTA taxes
J)Employee's individual earnings record 
A) FICA taxes 
B) Payroll register 
C) Employer 
D) Gross pay 
E) Workers' compensation laws
F)Employee's withholding allowance certificate (W-4)
G)Exemptions
H)Independent contractor
I)FUTA taxes
J)Employee's individual earnings record G

Question 4

The Social Security Act of 1935 was originally enacted to provide

Accepted Answer

A)  Benefits for Spouses 
B)  Benefits for Minor Children 
C)  Benefits for Retired Workers 
D)  Disability Insurance 
A)  Benefits for Spouses 
B)  Benefits for Minor Children 
C)  Benefits for Retired Workers 
D)  Disability Insurance

Question 5

Emma Parker is hired as a tailor. Emma's pay will be based on a piece-rate system at the rate of $10 per shirt stitched. Emma stitches 10 shirts a day and works 5 days a week. Which of the following figures is Emma's total earnings for one week?

Accepted Answer

A)  $100 
B)  $50 
C)  $500 
D)  $700 
A)  $100 
B)  $50 
C)  $500 
D)  $700

Question 6

The Fair Labor Standards Act of 1938 provides for:

Accepted Answer

A)  minimum standards for wages and overtime. 
B)  provisions for dependent people. 
C)  exemptions for spouses. 
D)  benefits for retired workers. 
A)  minimum standards for wages and overtime. 
B)  provisions for dependent people. 
C)  exemptions for spouses. 
D)  benefits for retired workers.

Question 7

The payroll register contains all of the following except:

Accepted Answer

A)  Hours Worked 
B)  Cumulative Earnings 
C)  Federal Income Tax 
D)  W-4 Form 
A)  Hours Worked 
B)  Cumulative Earnings 
C)  Federal Income Tax 
D)  W-4 Form

Question 8

If employees are paid by checks from the firm's regular bank account, the Salaries Payable account is necessary in the payroll entry.

Accepted Answer

A) True 
 B)False

Question 9

Olivia worked 46 hours during the week at an hourly rate of $16 per hour. Assume that Olivia's overtime rate is paid at time and a half over 40 hours. What is Olivia's gross pay for the week?

Accepted Answer

A)  $1,104 
B)  $880 
C)  $784 
D)  $688 
A)  $1,104 
B)  $880 
C)  $784 
D)  $688

Question 10

Employees' individual earnings records are not needed for salaried workers.

Accepted Answer

A) True 
 B)False

Question 11

An independent contractor is one who is under the direct control of an employer.

Accepted Answer

A) True 
 B)False

Question 12

Jenny receives an annual salary of $51,000 plus a 10 percent commission on all sales during the year in excess of $200,000. Her sales for the year total $420,000. Her total earnings amount to _____.

Accepted Answer

A)  $73,000 
B)  $56,100 
C)  $93,000 
D)  $71,000 
E)  $51,000 
A)  $73,000 
B)  $56,100 
C)  $93,000 
D)  $71,000 
E)  $51,000

Question 13

Explain the similarities and differences in the payroll register and the employee's individual earnings record.

Accepted Answer

The payroll register is a form that summ

Question 14

Net pay is the same as

Accepted Answer

A)  Total earnings 
B)  Take home pay 
C)  Earnings before taxes 
D)  Pay before deductions 
A)  Total earnings 
B)  Take home pay 
C)  Earnings before taxes 
D)  Pay before deductions

Question 15

If an employee earning $10 per hour works 46 hours, the gross pay would amount to $490, assuming time-and-a-half for over 40 hours worked per week.

Accepted Answer

A) True 
 B)False

Question 16

All payroll deductions withheld from employees become an expense for the employer.

Accepted Answer

A) True 
 B)False

Question 17

Businesses with several employees may prefer to maintain a separate checking account for the payment of payroll.

Accepted Answer

A) True 
 B)False

Question 18

Sophia received $730 for working 40 hours. What is Sophia's hourly rate of pay?

Accepted Answer

A)  $18.00 
B)  $18.04 
C)  $18.25 
D)  $18.50 
A)  $18.00 
B)  $18.04 
C)  $18.25 
D)  $18.50

Question 19

To examine in detail the weekly payroll figures of all employees, one would look at

Accepted Answer

A)  the payroll register. 
B)  the employee's individual earnings record. 
C)  time cards. 
D)  Form W-4. 
E)  the general ledger. 
A)  the payroll register. 
B)  the employee's individual earnings record. 
C)  time cards. 
D)  Form W-4. 
E)  the general ledger.

Question 20

Social Security taxes and Medicare taxes are paid by both the employer and the employee.

Accepted Answer

A) True 
 B)False

In a payroll journal entry, a credit to Federal Withholding Tax Payable indicates

Flexible spending plans and 401(k) deductions are normally considered

Match the terms below with the correct definitions. -Withholding allowances

The Social Security Act of 1935 was originally enacted to provide

Emma Parker is hired as a tailor. Emma's pay will be based on a piece-rate system at the rate of $10 per shirt stitched. Emma stitches 10 shirts a day and works 5 days a week. Which of the following figures is Emma's total earnings for one week?

The Fair Labor Standards Act of 1938 provides for:

The payroll register contains all of the following except:

If employees are paid by checks from the firm's regular bank account, the Salaries Payable account is necessary in the payroll entry.

Olivia worked 46 hours during the week at an hourly rate of $16 per hour. Assume that Olivia's overtime rate is paid at time and a half over 40 hours. What is Olivia's gross pay for the week?

Employees' individual earnings records are not needed for salaried workers.

An independent contractor is one who is under the direct control of an employer.

Jenny receives an annual salary of $51,000 plus a 10 percent commission on all sales during the year in excess of $200,000. Her sales for the year total $420,000. Her total earnings amount to _____.

Explain the similarities and differences in the payroll register and the employee's individual earnings record.

Net pay is the same as

If an employee earning $10 per hour works 46 hours, the gross pay would amount to $490, assuming time-and-a-half for over 40 hours worked per week.

All payroll deductions withheld from employees become an expense for the employer.

Businesses with several employees may prefer to maintain a separate checking account for the payment of payroll.

Sophia received $730 for working 40 hours. What is Sophia's hourly rate of pay?

To examine in detail the weekly payroll figures of all employees, one would look at

Social Security taxes and Medicare taxes are paid by both the employer and the employee.

Asset, Liability, Owners Equity, Revenue, and Expense Accounts

T Accounts, Debits and Credits, Trial Balance, and Financial Statements

The General Journal and the General Ledger

Adjusting Entries and the Work Sheet

Closing Entries and the Post-Closing Trial Balance

Bank Accounts, Cash Funds, and Internal Controls

Employer Taxes, Payments, and Reports

Sales and Purchases

Cash Receipts and Cash Payments

Work Sheet and Adjusting Entries

Financial Statements, Closing Entries, and Reversing Entries

Methods of Depreciation

Bad Debts

Inventory Methods

Notes Receivablenotes Payable

Filters

Exam 7: Employee Earnings and Deductions

In a payroll journal entry, a credit to Federal Withholding Tax Payable indicates

Flexible spending plans and 401(k) deductions are normally considered

Match the terms below with the correct definitions. -Withholding allowances

The Social Security Act of 1935 was originally enacted to provide

Emma Parker is hired as a tailor. Emma's pay will be based on a piece-rate system at the rate of $10 per shirt stitched. Emma stitches 10 shirts a day and works 5 days a week. Which of the following figures is Emma's total earnings for one week?

The Fair Labor Standards Act of 1938 provides for:

The payroll register contains all of the following except:

If employees are paid by checks from the firm's regular bank account, the Salaries Payable account is necessary in the payroll entry.

Olivia worked 46 hours during the week at an hourly rate of $16 per hour. Assume that Olivia's overtime rate is paid at time and a half over 40 hours. What is Olivia's gross pay for the week?

Employees' individual earnings records are not needed for salaried workers.

An independent contractor is one who is under the direct control of an employer.

Jenny receives an annual salary of $51,000 plus a 10 percent commission on all sales during the year in excess of $200,000. Her sales for the year total $420,000. Her total earnings amount to _____.

Explain the similarities and differences in the payroll register and the employee's individual earnings record.

Net pay is the same as

If an employee earning $10 per hour works 46 hours, the gross pay would amount to $490, assuming time-and-a-half for over 40 hours worked per week.

All payroll deductions withheld from employees become an expense for the employer.

Businesses with several employees may prefer to maintain a separate checking account for the payment of payroll.

Sophia received $730 for working 40 hours. What is Sophia's hourly rate of pay?

To examine in detail the weekly payroll figures of all employees, one would look at

Social Security taxes and Medicare taxes are paid by both the employer and the employee.

Asset, Liability, Owners Equity, Revenue, and Expense Accounts

T Accounts, Debits and Credits, Trial Balance, and Financial Statements

The General Journal and the General Ledger

Adjusting Entries and the Work Sheet

Closing Entries and the Post-Closing Trial Balance

Bank Accounts, Cash Funds, and Internal Controls

Employer Taxes, Payments, and Reports

Sales and Purchases

Cash Receipts and Cash Payments

Work Sheet and Adjusting Entries

Financial Statements, Closing Entries, and Reversing Entries

Methods of Depreciation

Bad Debts

Inventory Methods

Notes Receivablenotes Payable

Filters