Deck 8: Helenas Academy

Question 1

When preparing a payroll journal entry for a salaried employee you must -

A)record the regular hours worked to determine the salary amount
B)show the hours worked during the period for EI purposes
C)show the hours worked during the period for CPP purposes
D)show the hours worked during the period for WCB (or WSIB)purposes

Answer 1

B

Question 2

The payroll journal entries for two employees with the same gross pay may not show the same net pay because-

A)the tax deductions may based on different claim amounts
B)the other deductions may not be the same
C)the employees live in different provinces
D)all of the above

Answer 2

D

Question 3

When in the process of correcting a data error in the payroll entry after posting -

A)one should remember to recalculate the taxes
B)one should remember to reverse all amounts
C)one should remember to first cancel the entry
D)one should remember to re-enter all data

Answer 3

A

Question 4

The employee summary report option shows -

A)wage or salary amounts
B)all year-to-date totals
C)all information entered in employee records
D)earnings and deductions from a paycheque

Question 5

To pay out the vacation pay for a previously retained amount,you must -

A)de-select the employee's retain vacation check box
B)once the amount is released,choose recalculate taxes
C)remove wage amounts and optional deductions
D)a and c above

Question 6

In the process of correcting a wrong employee error all but one is used -

A)prepare a new entry for the correct employee
B)open the adjust cheque window for the employee
C)all amounts are automatically reversed when you choose void paycheque
D)one should remember to recalculate the taxes

Question 7

Which one of the following statements about payroll is incorrect -

A)you must record an hourly rate,salary or commission to process a paycheque
B)the program calculates EI,CPP and Income Tax based on federal tax tables
C)you must enter amounts for RRSP and Medical manually in the payroll journals
D)the payroll ledgers do not have a single control account

Question 8

Which one of the following general statements about payroll is incorrect -

A)all payroll cheque run entries are recorded with the same posting date
B)quick add will add the employee name to the payroll ledger
C)one-time bonus payments should be recorded separately
D)you may edit any field that is not dimmed

Question 9

How do EI,CPP,and Income Tax deductions differ from other payroll deductions -

A)they are federal government amounts calculated by the program
B)they are exempt from income tax
C)they are deducted from the gross earnings
D)they are entered just like any other deductions

Question 10

Transactions entered in the payroll journal will not record -

A)all necessary details of the employees pay
B)only hourly wage related types of transactions
C)hourly rated,salary and commission payments
D)all earnings and deductions for the employee

Question 11

The payroll journal transaction report screen does not show -

A)if the employee is paying RRSP contributions
B)if the employee is receiving an advance
C)the employee's gross pay amount
D)if the employer is retaining vacation pay

Question 12

To correct a data error in a payroll journal entry after posting it you should -

A)select the employee from the employees list
B)select the adjust pay cheque tool as a first step
C)select the incorrect field(s)and enter the correct data
D)select cancel and re-enter the correct information

Question 13

The payroll journal entry and report screens show that only the employer -

A)contributed to the CPP payable
B)contributed to the EI payable
C)contributed to the RRSP payable
D)contributed to the WCB payable

Question 14

When you post a payroll entry the following accounts are updated -

A)all properly linked payroll ledger accounts
B)only the employee's wages expense and wages payable ledgers
C)only the employer's wages expense and wages payable ledgers
D)only the employee's earnings and deductions

Question 15

In the payroll cheque run journal,you cannot -

A)enter amounts for advances and advances recovered
B)enter amounts for bonuses and commissions
C)edit the salary amount for a period
D)all of the above can be entered in the payroll cheque run journal

Question 16

In the classic view,payroll journal reports may be accessed from -

A)the home window --click the Report Centre,select Employee& Payroll transactions entries
B)the home window -click the pay cheques icon,then click the payroll journal
C)the home window -click the pay cheques icon and click the display tool
D)all of the above

Question 17

The payroll journal entry and report screens will show that the employer did not -

A)contribute to the EI and CPP payable
B)contribute to the EHT payable
C)contribute to the WCB payable
D)contribute to the RRSP payable

Question 18

The payroll journal may be used for only one of the following -

A)all payments of employee cash transactions
B)all payments for employee purchase transactions
C)all payments that are wage or salary related
D)all payments to employees

Question 19

When correcting a data error in a payroll journal entry before posting you should -

A)first open the payroll journal and enter the correct work
B)remove the payroll entry from the edit menu
C)select the incorrect field(s)and enter the correct data
D)discard the payroll transaction by clicking the undo tool

Question 20

Which one of the following general statements about payroll is not true -

A)when adjusting a pay cheque,the program automatically recalculates vacation pay
B)the program will not automatically recalculate CPP,EI and Income Tax
C)when correcting for a wrong employee,you do not have to reverse the data
D)changes for employee earnings and deductions cannot be made at any time

Question 21

The Payroll module window has journal icons for -

A)all types of payments to suppliers
B)pay cheques and payroll remittances
C)purchases,payroll remittances and pay cheques
D)all of the above

Question 22

If a CPP amount is missing in a payroll journal entry,it is most likely that -

A)the employee has made the maximum contribution for the year
B)the employee's province of employment does not require CPP contributions
C)the employee makes CPP contributions outside of work
D)all of the above are possible explanations

Question 23

Which of the following payroll details cannot be entered in the payroll cheque run journal -

A)personal or sick leave days taken
B)employee benefits
C)advances given and recovered
D)all of the above can be entered in the payroll cheque run journal

Question 24

When you prepare a payroll remittance for the first time -

A)the historical balance forward amount is added automatically
B)changing the pay period ending date changes the amounts on the remittance form
C)you can enter any period ending date after the fiscal start date
D)both a and c above are correct

Question 25

You can adjust a payroll journal entry after posting by -

A)selecting a different employee
B)changing the wage rate
C)accessing the adjust paycheque feature from the payroll journal
D)changing the number of hours worked

Question 26

Employee benefits differ from other payroll deductions in that -

A)they are not added to or deducted from the wage amount
B)they may be subject to income tax
C)they create an employer expense entry for the business
D)all of the above

Question 27

Which of the following statements about payroll journal entries is correct -

A)you can adjust a posted payroll journal entry from the payroll cheque run journal
B)you cannot change the default number of regular hours in the payroll cheque run journal
C)you can edit the piece rate in the payroll cheque run journal
D)you can adjust a payroll cheque run journal entry in the payroll journal

Question 28

You should enter a date of termination for an employee -

A)to indicate that the employee works on a short-term contract
B)as soon as you learn the date the employee plans to leave
C)after the employee has left the company
D)at any time before the employee leaves the company

Question 29

The payroll journal entries for different employees -

A)must link the wages for all employees to the same wage expense account
B)must link the EI expenses for all employees to the same EI expense account
C)must use a single expense account for regular wages,salary and commissions
D)none of the above

Question 30

When you select pay remittance in the payments journal -

A)the amounts for all payroll authorities are shown automatically
B)the amount shown as owing for an authority is the same as the liability account ledger balance
C)the journal always shows the amount owing for the previous month
D)you must select a payroll authority before the amount owing is displayed

Question 31

To make payroll tax remittances -

A)select pay remittance in the payroll journal and then select the supplier
B)select pay remittance in the payments journal and then select the supplier
C)select the supplier in the purchases journal and then select pay remittance
D)select the supplier in the payments journal and then select pay remittance

Question 32

When an employee has chosen to deposit paycheques directly to his/her bank account -

A)you can click direct deposit in the journal to issue a regular cheque
B)you must add the bank account number to the payroll journal for the employee
C)you cannot enter the paycheque in the payroll cheque run journal
D)you cannot issue a cheque directly to the employee unless you change the employee ledger settings

Question 33

Which of the following is not required when you make a payroll tax remittance -

A)select pay remittance and then select the payroll authority
B)enter the pay period covered by the remittance
C)enter an adjustment amount for the opening general ledger account balance
D)enter or accept the amount of the payment

Question 34

When you examine a payroll journal entry,you can see that an employee is repaying an advance -

A)from a debit entry for the Advances Receivable account
B)from a credit entry for the Advances Receivable account
C)from a reduced amount for the Wages Expense account
D)from an increased amount for the Wages Expense account

Question 35

When an employee is entitled to sick leave and takes two days off during a pay period -

A)enter 2 in the sick leave days earned field on the entitlements tab screen in the payroll journal
B)enter 2 in the sick leave days taken field on the entitlements tab screen in the employee ledger
C)enter 2 in the sick leave days taken field on the entitlements tab screen in the payroll journal
D)reduce the number of hours worked on the income tab screen in the payroll journal by 2 days

Question 36

Which of the following would be considered a user-defined payroll expense -

A)employer contributions to employment insurance (EI)
B)an employer pays the premiums for an employee life insurance plan
C)an employer pays overtime to employees
D)all of the above are user-defined expenses