Question 1

Upon termination from a firm,employer must disburse the former employee's final pay ___________.

Accepted Answer

A)  Immediately. 
B)  Within 24 hours. 
C)  At the next scheduled payday. 
D)  In accordance with state law. 
A)  Immediately. 
B)  Within 24 hours. 
C)  At the next scheduled payday. 
D)  In accordance with state law.

Question 2

Which of the following factors assist employers in determining employee pay rates (Select all that apply)?

Accepted Answer

A)  Employee skill 
B)  Company location 
C)  Employee age 
D)  Industry benchmarks 
A)  Employee skill 
B)  Company location 
C)  Employee age 
D)  Industry benchmarks

Question 3

Allen is an employee of the foreign subsidiary of a United States based company who lives and work in the United Kingdom.According to FATCA,how much of his wages may Allen exclude from United States' taxes,according to 2016 guidelines?

Accepted Answer

A)  $46,500 
B)  $79,850 
C)  $101,300 
A)  $46,500 
B)  $79,850 
C)  $101,300

Question 4

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

Accepted Answer

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

Question 5

Foreign workers in the United States are subject to new hire reporting regulations.

Accepted Answer

A) True 
 B)False

Question 6

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

Accepted Answer

A)  Exempt employees. 
B)  Nonexempt employees. 
C)  Government contract employees. 
D)  Independent contractors. 
A)  Exempt employees. 
B)  Nonexempt employees. 
C)  Government contract employees. 
D)  Independent contractors.

Question 7

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 (Select all that apply)?

Accepted Answer

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

Question 8

Which of the following is a necessary element in an accounting system (Select all that apply)?

Accepted Answer

A)  Internal review 
B)  Audit control 
C)  Internal control 
D)  Audit review 
A)  Internal review 
B)  Audit control 
C)  Internal control 
D)  Audit review

Question 9

What is the difference between termination and resignation,as far as final pay is concerned?

Accepted Answer

A)  Resignation pay may be paid at the next regular pay date,but termination pay is subject to state law. 
B)  Resignation and termination pay are subject to state regulations. 
C)  Resignation pay must be paid within one week and termination pay must be the next business day. 
D) 
Resignation pay must be paid on the next business day and termination pay is due immediately. 
A)  Resignation pay may be paid at the next regular pay date,but termination pay is subject to state law. 
B)  Resignation and termination pay are subject to state regulations. 
C)  Resignation pay must be paid within one week and termination pay must be the next business day. 
D) 
Resignation pay must be paid on the next business day and termination pay is due immediately.

Question 10

Stan works for a bakery for which part of his compensation is based on the decoration of wedding and other specialty cakes.His compensation has a ____________ element.

Accepted Answer

A)  Performance incentive 
B)  Commission 
C)  Piece-rate 
D)  Nonexempt 
A)  Performance incentive 
B)  Commission 
C)  Piece-rate 
D)  Nonexempt

Question 11

Which aspect of internal controls for payroll relates to the Sarbanes-Oxley Act?

Accepted Answer

A)  Protecting employee retirement funds 
B)  Limiting the number of employees authorized to disburse payroll 
C)  Cross-training employees and altering duties 
D)  Ensuring the complexity of the audit trail 
A)  Protecting employee retirement funds 
B)  Limiting the number of employees authorized to disburse payroll 
C)  Cross-training employees and altering duties 
D)  Ensuring the complexity of the audit trail

Question 12

Josh,who is 21 years of age,is a new employee of XYZ Company.To establish his identity and
Employment authorization,he could present:

Accepted Answer

A)  His current United States passport. 
B)  His library card and birth certificate. 
C)  His driver's license and ATM card. 
D)  His college transcript and driver's license. 
A)  His current United States passport. 
B)  His library card and birth certificate. 
C)  His driver's license and ATM card. 
D)  His college transcript and driver's license.

Question 13

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

Accepted Answer

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

Question 14

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

Accepted Answer

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

Question 15

_______________ payroll is processed every two weeks and will usually result in a lower gross pay per pay period than ________________ payroll.

Accepted Answer

A)  Weekly;monthly. 
B)  Semimonthly;biweekly. 
C)  Biweekly;semimonthly. 
D)  Daily;biweekly. 
A)  Weekly;monthly. 
B)  Semimonthly;biweekly. 
C)  Biweekly;semimonthly. 
D)  Daily;biweekly.

Question 16

A company should assign _________________ employee(s)the responsibility for signing payroll checks and disbursements.

Accepted Answer

A)  A limited number of 
B)  Only one 
C)  Its most responsible 
D)  None of the 
A)  A limited number of 
B)  Only one 
C)  Its most responsible 
D)  None of the

Question 17

What types of records does IRS Regulation 26 CFR 1.6001 cover (Select all that apply)?

Accepted Answer

A)  Manual pay records 
B)  Computerized pay records 
C)  Outsourced payroll records 
D)  Independent contractor remittance 
A)  Manual pay records 
B)  Computerized pay records 
C)  Outsourced payroll records 
D)  Independent contractor remittance

Question 18

When developing the internal controls and record retention for a payroll system,a company should:

Accepted Answer

A)  Involve all company employees to promote transparency. 
B)  Develop a closed system and alternate employee duties. 
C)  Designate a single employee with the responsibility for pay disbursements. 
D)  Train accounting personnel on a single payroll task. 
A)  Involve all company employees to promote transparency. 
B)  Develop a closed system and alternate employee duties. 
C)  Designate a single employee with the responsibility for pay disbursements. 
D)  Train accounting personnel on a single payroll task.

Question 19

U.S.workers in foreign subsidiaries are exempt from all income taxes.

Accepted Answer

A) True 
 B)False

Question 20

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

Accepted Answer

A)  Intermediaries (e.g. ,banks) 
B)  Employers and employees 
C)  Foreign countries 
D)  Personal income tax returns 
A)  Intermediaries (e.g. ,banks) 
B)  Employers and employees 
C)  Foreign countries 
D)  Personal income tax returns

Upon termination from a firm,employer must disburse the former employee's final pay ___________.

Which of the following factors assist employers in determining employee pay rates (Select all that apply)?

Allen is an employee of the foreign subsidiary of a United States based company who lives and work in the United Kingdom.According to FATCA,how much of his wages may Allen exclude from United States' taxes,according to 2016 guidelines?

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

Foreign workers in the United States are subject to new hire reporting regulations.

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

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 (Select all that apply)?

Which of the following is a necessary element in an accounting system (Select all that apply)?

What is the difference between termination and resignation,as far as final pay is concerned?

Stan works for a bakery for which part of his compensation is based on the decoration of wedding and other specialty cakes.His compensation has a ____________ element.

Which aspect of internal controls for payroll relates to the Sarbanes-Oxley Act?

Josh,who is 21 years of age,is a new employee of XYZ Company.To establish his identity and Employment authorization,he could present:

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

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

_ payroll is processed every two weeks and will usually result in a lower gross pay per pay period than __ payroll.

A company should assign _________________ employee(s)the responsibility for signing payroll checks and disbursements.

What types of records does IRS Regulation 26 CFR 1.6001 cover (Select all that apply)?

When developing the internal controls and record retention for a payroll system,a company should:

U.S.workers in foreign subsidiaries are exempt from all income taxes.

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

Payroll Practices and System Fundamentals

Gross Pay Computation

Employee Net Pay and Pay Methods

Employer Payroll Taxes and Labor Planning

Payroll Register, employees Earning Records, and Accounting System Entries

Filters

Exam 2: Payroll System Procedures

Upon termination from a firm,employer must disburse the former employee's final pay ___________.

Which of the following factors assist employers in determining employee pay rates (Select all that apply)?

Allen is an employee of the foreign subsidiary of a United States based company who lives and work in the United Kingdom.According to FATCA,how much of his wages may Allen exclude from United States' taxes,according to 2016 guidelines?

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

Foreign workers in the United States are subject to new hire reporting regulations.

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

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 (Select all that apply)?

Which of the following is a necessary element in an accounting system (Select all that apply)?

What is the difference between termination and resignation,as far as final pay is concerned?

Stan works for a bakery for which part of his compensation is based on the decoration of wedding and other specialty cakes.His compensation has a ____________ element.

Which aspect of internal controls for payroll relates to the Sarbanes-Oxley Act?

Josh,who is 21 years of age,is a new employee of XYZ Company.To establish his identity and Employment authorization,he could present:

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

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

_______________ payroll is processed every two weeks and will usually result in a lower gross pay per pay period than ________________ payroll.

A company should assign _________________ employee(s)the responsibility for signing payroll checks and disbursements.

What types of records does IRS Regulation 26 CFR 1.6001 cover (Select all that apply)?

When developing the internal controls and record retention for a payroll system,a company should:

U.S.workers in foreign subsidiaries are exempt from all income taxes.

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

Payroll Practices and System Fundamentals

Gross Pay Computation

Employee Net Pay and Pay Methods

Employer Payroll Taxes and Labor Planning

Payroll Register, employees Earning Records, and Accounting System Entries

Filters

_ payroll is processed every two weeks and will usually result in a lower gross pay per pay period than __ payroll.