Question 1

When a firm records its payroll, the amount of federal income tax withheld from employees is entered as a liability.

Accepted Answer

A) True 
 B)False

Question 2

An employee whose regular hourly rate is $9 and whose overtime rate is 1.5 times the regular rate worked 44 hours one week. The employee's gross pay was

Accepted Answer

A) $396. 
B) $594. 
C) $378. 
D) $414. 
A) $396. 
B) $594. 
C) $378. 
D) $414.

Question 3

Michael Miller is paid twice a month and had total gross earnings as of 10/15 of $116,800. His gross earnings for the period ending 10/31 were $6,000. If social security taxes are 6.2% on a maximum earnings of $122,700 per year and Medicare tax is 1.45% on all earnings, how much medicare tax will be paid by Michael and how much will be paid by his employer for the period ending 10/31?

Accepted Answer

A) Michael will pay $24.65 and his employer will also pay $24.65. 
B) Michael will pay $87.00 and his employer is not required to pay any social security tax. 
C) Michael will pay $24.65 and his employer will pay $87.00. 
D) Michael will pay $87.00 and his employer will also pay $87.00. 
A) Michael will pay $24.65 and his employer will also pay $24.65. 
B) Michael will pay $87.00 and his employer is not required to pay any social security tax. 
C) Michael will pay $24.65 and his employer will pay $87.00. 
D) Michael will pay $87.00 and his employer will also pay $87.00.

Question 4

Social Security Tax is 6.2%; Medicare Tax is 1.45% and federal and state unemployment compensation taxes total 5.4% (both added together). The federal income tax for the month is $250 and the state income taxes for the month is $40. If employee George Glass earned $2,500 for the current month and he has not reached any maximums for taxes, what is George's total net pay for the month?

Accepted Answer

A) $1,883.75 
B) $2,018.75 
C) $2,500.00 
D) $2,173.75 
A) $1,883.75 
B) $2,018.75 
C) $2,500.00 
D) $2,173.75

Question 5

Publication 15, Circular E contains withholding information

Accepted Answer

A) for federal and state income taxes. 
B) for social security and Medicare taxes only. 
C) for federal income taxes only. 
D) for social security, Medicare, and federal income tax taxes. 
A) for federal and state income taxes. 
B) for social security and Medicare taxes only. 
C) for federal income taxes only. 
D) for social security, Medicare, and federal income tax taxes.

Question 6

The monthly salaries for December and the year-to-date earnings as of November 30 for the three employees of Heather's Hair Salon are listed below. Compute the amount of social security tax and Medicare tax to be withheld from each of the employee's gross pay for December. Assume a 6.2 percent social security tax rate and a base of $122,700 for the calendar year. Assume a 1.45 percent Medicare tax rate.

Accepted Answer

Employee No. 1:Soc. Sec. Tax,

Question 7

Social Security Tax is 6.2%; Medicare Tax is 1.45% and federal and state unemployment compensation taxes total 5.4% (both added together); the federal income tax for the month is $250 and the state income taxes for the month is $40. If employee George Glass earned $2,500 for the current month and he has not reached any maximums for taxes, what are the total employee payroll taxes withheld for the current month?

Accepted Answer

A) $290.00 
B) $326.25 
C) $481.25 
D) $616.25 
A) $290.00 
B) $326.25 
C) $481.25 
D) $616.25

Question 8

An employee whose regular hourly rate is $20 and whose overtime rate is 1.5 times the regular rate worked 44 hours in one week. In the payroll register, the employer should record an overtime premium of

Accepted Answer

A) $120. 
B) $880. 
C) $440. 
D) $40. 
A) $120. 
B) $880. 
C) $440. 
D) $40.

Question 9

All details related to an employee's earnings, deductions, and net pay throughout the year would be found in

Accepted Answer

A) the individual earnings record. 
B) the Wages Expense account in the general ledger. 
C) the payroll register. 
D) the general journal. 
A) the individual earnings record. 
B) the Wages Expense account in the general ledger. 
C) the payroll register. 
D) the general journal.

When a firm records its payroll, the amount of federal income tax withheld from employees is entered as a liability.

An employee whose regular hourly rate is $9 and whose overtime rate is 1.5 times the regular rate worked 44 hours one week. The employee's gross pay was

Publication 15, Circular E contains withholding information

An employee whose regular hourly rate is $20 and whose overtime rate is 1.5 times the regular rate worked 44 hours in one week. In the payroll register, the employer should record an overtime premium of

All details related to an employee's earnings, deductions, and net pay throughout the year would be found in

Accounting: The Language of Business

Analyzing Business Transactions

Analyzing Business Transactions Using T Accounts

The General Journal and the General Ledger

Adjustments and the Worksheet

Closing Entries and Teh Postclosing Trial Balance

Accounting for Sales and Accounts Receivable

Accounting for Purchases and Accounts Payable

Cash Receipts, Cash Payments, and Banking Procedures

Payroll Taxes, Deposits, and Reports

Accruals, Deferrals, and the Worksheet

Financial Statements and Closing Procedures

Accounting Principles and Reporting Standards

Accounts Receivable and Uncollectible Accounts

Notes Payable and Notes Receivable

Merchandise Inventory

Property, Plant, and Equipment

Accounting for Partnerships

Corporations: Formation and Capital Stock Transactions

Corporate Earnings and Capital Transactions

Long-Term Bonds

Financial Statement Analysis

The Statement of Cash Flows

Departmentalized Profit and Cost Centers

Accounting for Manufacturing Activities

Job Order Cost Accounting

Process Cost Accounting

Controlling Manufacturing Costs: Standard Costs

Cost-Revenue Analysis for Decision Making

Filters

Exam 10: Payroll Computations, Records, and Payment

When a firm records its payroll, the amount of federal income tax withheld from employees is entered as a liability.

An employee whose regular hourly rate is $9 and whose overtime rate is 1.5 times the regular rate worked 44 hours one week. The employee's gross pay was

Publication 15, Circular E contains withholding information

An employee whose regular hourly rate is $20 and whose overtime rate is 1.5 times the regular rate worked 44 hours in one week. In the payroll register, the employer should record an overtime premium of

All details related to an employee's earnings, deductions, and net pay throughout the year would be found in

Accounting: The Language of Business

Analyzing Business Transactions

Analyzing Business Transactions Using T Accounts

The General Journal and the General Ledger

Adjustments and the Worksheet

Closing Entries and Teh Postclosing Trial Balance

Accounting for Sales and Accounts Receivable

Accounting for Purchases and Accounts Payable

Cash Receipts, Cash Payments, and Banking Procedures

Payroll Taxes, Deposits, and Reports

Accruals, Deferrals, and the Worksheet

Financial Statements and Closing Procedures

Accounting Principles and Reporting Standards

Accounts Receivable and Uncollectible Accounts

Notes Payable and Notes Receivable

Merchandise Inventory

Property, Plant, and Equipment

Accounting for Partnerships

Corporations: Formation and Capital Stock Transactions

Corporate Earnings and Capital Transactions

Long-Term Bonds

Financial Statement Analysis

The Statement of Cash Flows

Departmentalized Profit and Cost Centers

Accounting for Manufacturing Activities

Job Order Cost Accounting

Process Cost Accounting

Controlling Manufacturing Costs: Standard Costs

Cost-Revenue Analysis for Decision Making

Filters