Question 1

The Medicare tax is 6.2 percent of unlimited gross earnings.

Accepted Answer

A) True 
 B)False

Question 2

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

Accepted Answer

A) True 
 B)False

Question 3

Which of the allowances listed below would have the most amount of taxes withheld for federal income tax purposes?

Accepted Answer

A) S-0 
B) S-1 
C) S-2 
D) S-3 
A) S-0 
B) S-1 
C) S-2 
D) S-3

Question 4

Prior to the last weekly payroll period of this year, the cumulative earnings of Lenz and Trent are $84,000 and $60,320, respectively. Their earnings for the present pay period ending December 18, are Lenz, $2,310, and Trent, $2,010. Assuming that the Social Security tax is 6.2 percent on the first $113,700 paid during the calendar year and the Medicare tax is 1.45 percent on all earnings paid during the calendar year, the total amount of FICA taxes withheld this payroll period for both Lenz and Trent is

Accepted Answer

A) $62.64. 
B) $267.84. 
C) $187.27. 
D) $125.28. 
E) none of these. 
A) $62.64. 
B) $267.84. 
C) $187.27. 
D) $125.28. 
E) none of these.

Question 5

Federal unemployment laws protect employees and their dependents against losses due to death or injury incurred on the job.

Accepted Answer

A) True 
 B)False

The Medicare tax is 6.2 percent of unlimited gross earnings.

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

Which of the allowances listed below would have the most amount of taxes withheld for federal income tax purposes?

Federal unemployment laws protect employees and their dependents against losses due to death or injury incurred on the job.

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

The Medicare tax is 6.2 percent of unlimited gross earnings.

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

Which of the allowances listed below would have the most amount of taxes withheld for federal income tax purposes?

Federal unemployment laws protect employees and their dependents against losses due to death or injury incurred on the job.

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