Question 1

There is no ceiling on each employee's total earnings that are subject to federal income tax.

Accepted Answer

A) True 
 B)False

Question 2

For which of the following taxes is there no ceiling on the amount of annual employee earnings subject to the tax?

Accepted Answer

A) Federal income tax 
B) Federal unemployment tax 
C) FICA SS tax 
D) Charitable contributions tax 
E) State unemployment tax 
A) Federal income tax 
B) Federal unemployment tax 
C) FICA SS tax 
D) Charitable contributions tax 
E) State unemployment tax

Question 3

The 941 employer's tax payment to the IRS consists of

Accepted Answer

A) Employee's FICA Withheld 
B) Employer's matching FICA 
C) Employee's federal income tax withheld 
D) A & B 
E) All of the Above 
A) Employee's FICA Withheld 
B) Employer's matching FICA 
C) Employee's federal income tax withheld 
D) A & B 
E) All of the Above

Question 4

Mary Reeves has gross wages of $2,500 for the week ending October 30. Mary's total accumulated gross wages earned this year, prior to this payroll, is $111,900. If the FICA rates are: Social Security: 6.2% on a limit of $113,700 and Medicare 1.45%. What are Mary's FICA-Social Security and FICA-Medicare taxes for the week?

Accepted Answer

A) $0; $36.25 
B) $155.00; $36.25 
C) $155.00; $0 
D) $111.60; $36.25 
A) $0; $36.25 
B) $155.00; $36.25 
C) $155.00; $0 
D) $111.60; $36.25

Question 5

An employer may withhold portions of an employee's total earnings for

Accepted Answer

A) state and county sales taxes. 
B) charitable contributions. 
C) local property taxes. 
D) state unemployment taxes. 
E) federal unemployment taxes. 
A) state and county sales taxes. 
B) charitable contributions. 
C) local property taxes. 
D) state unemployment taxes. 
E) federal unemployment taxes.

Question 6

Bill Jones was hired as an apple picker. Bill's pay will be based on a piece-rate system at the rate of $4.50 per bag of apples picked. If Bill picks 20 bags a day, and works 4 days a week, what are his total earnings.

Accepted Answer

A) $18 
B) $90 
C) $360 
D) $450 
A) $18 
B) $90 
C) $360 
D) $450

Question 7

Gross pay is the total amount of salary or wages before deductions and taxes.

Accepted Answer

A) True 
 B)False

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

The FICA Tax Payable account is usually used for both the employees' and the employer's share of FICA taxes (Social Security and Medicare).

Accepted Answer

A) True 
 B)False

Question 10

Match the terms below with the correct definitions.
  
-Self-employed person

Accepted Answer

The answer of Match the terms below with the correct...

Question 11

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 12

The structure of the payroll entry to record the payroll is

Accepted Answer

A) debit Wages Payable; credit each employee deduction. 
B) debit Wages Payable; credit Cash. 
C) debit Wages Expense; credit each employee deduction; credit Salaries Payable. 
D) debit Wages Expense; credit each employee deduction. 
E) debit Wages Payable; credit Sales Expense; and credit Cash. 
A) debit Wages Payable; credit each employee deduction. 
B) debit Wages Payable; credit Cash. 
C) debit Wages Expense; credit each employee deduction; credit Salaries Payable. 
D) debit Wages Expense; credit each employee deduction. 
E) debit Wages Payable; credit Sales Expense; and credit Cash.

Question 13

Gross pay less one or more deductions equals net pay.

Accepted Answer

A) True 
 B)False

Question 14

Match the terms below with the correct definitions.
  
-Collects taxes for the federal and state governments

Accepted Answer

The answer of Match the terms below with the correct...

Question 15

The Federal Insurance Contributions Act provides for which of the following

Accepted Answer

A) Retirement benefits when workers reach 62 
B) Benefits for workers who become disabled after age 65 
C) Health insurance for people after age 70 
D) None of the above 
A) Retirement benefits when workers reach 62 
B) Benefits for workers who become disabled after age 65 
C) Health insurance for people after age 70 
D) None of the above

Question 16

Types of deductions from employees' earnings include

Accepted Answer

A) repayment of personal loans from a company credit union. 
B) savings through a company credit union. 
C) hospital and life insurance premiums. 
D) all of these. 
E) none of these. 
A) repayment of personal loans from a company credit union. 
B) savings through a company credit union. 
C) hospital and life insurance premiums. 
D) all of these. 
E) none of these.

Question 17

Mary Reeves has gross wages of $1,500 for the week ending October 24. Mary's total accumulated gross wages earned this year, prior to this payroll, is $75,000. If the FICA rates are: Social Security: 6.2% on a limit of $113,700 and Medicare 1.45%. What are Mary's FICA-Social Security and FICA-Medicare taxes for the week?

Accepted Answer

A) $0; $21.75 
B) $93.00; $0 
C) $93.00; $21.75 
D) There isn't enough information to calculate 
A) $0; $21.75 
B) $93.00; $0 
C) $93.00; $21.75 
D) There isn't enough information to calculate

Question 18

A person who works for compensation under the direction and control of the employer is called an independent contractor.

Accepted Answer

A) True 
 B)False

Question 19

Define taxable earnings, how they relate to the payroll register, and how they are calculated.

Accepted Answer

The Taxable Earnings columns of a payrol

Question 20

Mary Reeves has gross wages of $3,000 for the week ending October 30. Mary's total accumulated gross wages earned this year, prior to this payroll, is $114,150. If the FICA rates are: Social Security: 6.2% on a limit of $113,700 and Medicare 1.45%. What are Mary's FICA-Social Security and FICA-Medicare taxes for the week?

Accepted Answer

A) $0; $43.50 
B) $186.00; $43.50 
C) $186.00; $0 
D) $0; $0 
A) $0; $43.50 
B) $186.00; $43.50 
C) $186.00; $0 
D) $0; $0

There is no ceiling on each employee's total earnings that are subject to federal income tax.

For which of the following taxes is there no ceiling on the amount of annual employee earnings subject to the tax?

The 941 employer's tax payment to the IRS consists of

An employer may withhold portions of an employee's total earnings for

Bill Jones was hired as an apple picker. Bill's pay will be based on a piece-rate system at the rate of $4.50 per bag of apples picked. If Bill picks 20 bags a day, and works 4 days a week, what are his total earnings.

Gross pay is the total amount of salary or wages before deductions and taxes.

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

The FICA Tax Payable account is usually used for both the employees' and the employer's share of FICA taxes (Social Security and Medicare).

Match the terms below with the correct definitions. -Self-employed person

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

The structure of the payroll entry to record the payroll is

Gross pay less one or more deductions equals net pay.

Match the terms below with the correct definitions. -Collects taxes for the federal and state governments

The Federal Insurance Contributions Act provides for which of the following

Types of deductions from employees' earnings include

A person who works for compensation under the direction and control of the employer is called an independent contractor.

Define taxable earnings, how they relate to the payroll register, and how they are calculated.

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 Including Appendix

Bank Accounts and Cash Funds

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

Filters

Exam 7: Employee Earnings and Deductions

There is no ceiling on each employee's total earnings that are subject to federal income tax.

For which of the following taxes is there no ceiling on the amount of annual employee earnings subject to the tax?

The 941 employer's tax payment to the IRS consists of

An employer may withhold portions of an employee's total earnings for

Bill Jones was hired as an apple picker. Bill's pay will be based on a piece-rate system at the rate of $4.50 per bag of apples picked. If Bill picks 20 bags a day, and works 4 days a week, what are his total earnings.

Gross pay is the total amount of salary or wages before deductions and taxes.

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

The FICA Tax Payable account is usually used for both the employees' and the employer's share of FICA taxes (Social Security and Medicare).

Match the terms below with the correct definitions. -Self-employed person

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

The structure of the payroll entry to record the payroll is

Gross pay less one or more deductions equals net pay.

Match the terms below with the correct definitions. -Collects taxes for the federal and state governments

The Federal Insurance Contributions Act provides for which of the following

Types of deductions from employees' earnings include

A person who works for compensation under the direction and control of the employer is called an independent contractor.

Define taxable earnings, how they relate to the payroll register, and how they are calculated.

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 Including Appendix

Bank Accounts and Cash Funds

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

Filters