Question 1

Personnel in certain full-time occupations are classiﬁed as ________ instead of independent contractors.

Accepted Answer

A)  statutory employees 
B)  executive workers 
C)  contract employees 
D)  non-statutory workers 
A)  statutory employees 
B)  executive workers 
C)  contract employees 
D)  non-statutory workers

Question 2

Individuals classiﬁed as ________ are processed as vendors of a ﬁrm.

Accepted Answer

A)  government contract employees 
B)  independent contractors 
C)  exempt employees 
D)  nonexempt employees 
A)  government contract employees 
B)  independent contractors 
C)  exempt employees 
D)  nonexempt employees

Question 3

An employer must have an employee complete Form W-4:

Accepted Answer

A)  Each year, upon the employee's anniversary with the ﬁrm. 
B)  Every January 1. 
C)  At the time of hire. 
D)  Before each pay disbursement. 
A)  Each year, upon the employee's anniversary with the ﬁrm. 
B)  Every January 1. 
C)  At the time of hire. 
D)  Before each pay disbursement.

Question 4

Upon termination, which of the following must be included in an employee's ﬁnal pay?

Accepted Answer

A)  Hours worked. 
B)  Sick time accrued but not used. 
C)  Severance pay. 
D)  Vacation previously paid. 
A)  Hours worked. 
B)  Sick time accrued but not used. 
C)  Severance pay. 
D)  Vacation previously paid.

Question 5

Which items must be contained in every hiring packet issued by an employer?

Accepted Answer

A)  Descriptions of beneﬁts and enrollment forms 
B)  No items are mandated for issuance in a hiring packet. 
C)  Forms W-4 and I-9 
D)  Employment contract with start date and pay agreement 
A)  Descriptions of beneﬁts and enrollment forms 
B)  No items are mandated for issuance in a hiring packet. 
C)  Forms W-4 and I-9 
D)  Employment contract with start date and pay agreement

Question 6

Which of the following is an example of a typical exempt salaried employee?

Accepted Answer

A)  Operations Manager. 
B)  Machine Operator. 
C)  Accounting Clerk. 
D)  Administrative Assistant. 
A)  Operations Manager. 
B)  Machine Operator. 
C)  Accounting Clerk. 
D)  Administrative Assistant.

Question 7

Outsourcing the payroll process:

Accepted Answer

A)  Relieves the company of certain task completion but not the review process. 
B)  Relieves the company of the review process but not the task completion. 
C)  Relieves the company of all liability for payroll completion and accuracy. 
D)  Relieves the company of the task completion and the review process. 
A)  Relieves the company of certain task completion but not the review process. 
B)  Relieves the company of the review process but not the task completion. 
C)  Relieves the company of all liability for payroll completion and accuracy. 
D)  Relieves the company of the task completion and the review process.

Question 8

For payroll documentation purposes, when an employee needs time away from work:

Accepted Answer

A)  The request should be documented and forwarded to the payroll clerk. 
B)  Upper management must approve the request. 
C)  The supervisor should authorize it verbally. 
D)  The employee should email only department colleagues. 
A)  The request should be documented and forwarded to the payroll clerk. 
B)  Upper management must approve the request. 
C)  The supervisor should authorize it verbally. 
D)  The employee should email only department colleagues.

Question 9

The IRS stipulates that no more than ____ percent of a company's employees may be leased employees.

Accepted Answer

A)  10 
B)  20 
C)  30 
D)  40 
A)  10 
B)  20 
C)  30 
D)  40

Question 10

Why is it important for an employer to classify a worker as either an employee or an independent contractor?

Accepted Answer

A)  For reimbursement purposes 
B)  For child support obligations purposes 
C)  For government tracking purposes 
D)  For tax reporting purposes 
A)  For reimbursement purposes 
B)  For child support obligations purposes 
C)  For government tracking purposes 
D)  For tax reporting purposes

Question 11

Form I-9 is issued by the ________ to verify employment eligibility in the United States.

Accepted Answer

A)  Internal Revenue Service 
B)  Department of Homeland Security 
C)  Federal Bureau of Investigation 
D)  Department of Labor 
A)  Internal Revenue Service 
B)  Department of Homeland Security 
C)  Federal Bureau of Investigation 
D)  Department of Labor

Question 12

Which pay frequency has 24 pay periods annually?

Accepted Answer

A)  Semi-weekly 
B)  Weekly 
C)  Semimonthly 
D)  Biweekly 
A)  Semi-weekly 
B)  Weekly 
C)  Semimonthly 
D)  Biweekly

Question 13

What forms are required when an employee is hired? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer
And double click the box with the question mark to empty the box for a wrong answer. Any
Boxes left with a question mark will be automatically graded as incorrect.)

Accepted Answer

A)  SS-4 
B)  I-9 
C)  W-2 
D)  W-4 
A)  SS-4 
B)  I-9 
C)  W-2 
D)  W-4

Question 14

A firm needs to destroy paper payroll records after the end of the retention period. Which of the following is an option for destruction purposes? (You may select more than one answer. Single
Click the box with the question mark to produce a check mark for a correct answer and
Double click the box with the question mark to empty the box for a wrong answer. Any
Boxes left with a question mark will be automatically graded as incorrect.)

Accepted Answer

A)  Shredding 
B)  Pulping 
C)  Burning 
D)  Discarding 
A)  Shredding 
B)  Pulping 
C)  Burning 
D)  Discarding

Question 15

Why must pay period information be a part of an employee's payroll ﬁle?

Accepted Answer

A)  To document satisfaction of court-ordered obligations. 
B)  As a means of ensuring pay equality among employees. 
C)  To ensure that the employee receives all compensation earned. 
D)  As a means of tracking time worked for overtime compensation purposes. 
A)  To document satisfaction of court-ordered obligations. 
B)  As a means of ensuring pay equality among employees. 
C)  To ensure that the employee receives all compensation earned. 
D)  As a means of tracking time worked for overtime compensation purposes.

Question 16

________ pay is based on sales revenue, while ________ pay is based on manufacturing.

Accepted Answer

A)  Exempt; nonexempt 
B)  Piece-rate; commission 
C)  Commission; overtime 
D)  Commission; piece-rate 
A)  Exempt; nonexempt 
B)  Piece-rate; commission 
C)  Commission; overtime 
D)  Commission; piece-rate

Question 17

FATCA enforcement has been diﬃcult because the Internal Revenue Service relies on ________ for reporting purposes.

Accepted Answer

A)  personal income tax returns 
B)  employers and employees 
C)  intermediaries (e.g., banks) 
D)  foreign countries 
A)  personal income tax returns 
B)  employers and employees 
C)  intermediaries (e.g., banks) 
D)  foreign countries

Personnel in certain full-time occupations are classiﬁed as ________ instead of independent contractors.

Individuals classiﬁed as ________ are processed as vendors of a ﬁrm.

An employer must have an employee complete Form W-4:

Upon termination, which of the following must be included in an employee's ﬁnal pay?

Which items must be contained in every hiring packet issued by an employer?

Which of the following is an example of a typical exempt salaried employee?

Outsourcing the payroll process:

For payroll documentation purposes, when an employee needs time away from work:

The IRS stipulates that no more than ____ percent of a company's employees may be leased employees.

Why is it important for an employer to classify a worker as either an employee or an independent contractor?

Form I-9 is issued by the ________ to verify employment eligibility in the United States.

Which pay frequency has 24 pay periods annually?

Why must pay period information be a part of an employee's payroll ﬁle?

pay is based on sales revenue, while pay is based on manufacturing.

FATCA enforcement has been diﬃcult because the Internal Revenue Service relies on ________ for reporting purposes.

Payroll Practices and System Fundamentals

Gross Pay Computation

Fringe Benefits and Voluntary Deductions

Employee Net Pay and Pay Methods

Employer Payroll Taxes and Labor Planning

The Payroll Register, Employees Earnings Records, and Accounting System Entries

Filters

Exam 2: Payroll System Procedures

Personnel in certain full-time occupations are classiﬁed as ________ instead of independent contractors.

Individuals classiﬁed as ________ are processed as vendors of a ﬁrm.

An employer must have an employee complete Form W-4:

Upon termination, which of the following must be included in an employee's ﬁnal pay?

Which items must be contained in every hiring packet issued by an employer?

Which of the following is an example of a typical exempt salaried employee?

Outsourcing the payroll process:

For payroll documentation purposes, when an employee needs time away from work:

The IRS stipulates that no more than ____ percent of a company's employees may be leased employees.

Why is it important for an employer to classify a worker as either an employee or an independent contractor?

Form I-9 is issued by the ________ to verify employment eligibility in the United States.

Which pay frequency has 24 pay periods annually?

Why must pay period information be a part of an employee's payroll ﬁle?

________ pay is based on sales revenue, while ________ pay is based on manufacturing.

FATCA enforcement has been diﬃcult because the Internal Revenue Service relies on ________ for reporting purposes.

Payroll Practices and System Fundamentals

Gross Pay Computation

Fringe Benefits and Voluntary Deductions

Employee Net Pay and Pay Methods

Employer Payroll Taxes and Labor Planning

The Payroll Register, Employees Earnings Records, and Accounting System Entries

Filters

pay is based on sales revenue, while pay is based on manufacturing.