Taxes & Fundamentals of Algebra Unit Review

Front

Kiki receives a paycheck for 15 hours of work at a rate of $20 per hour. Her paystub lists 401(k) withholdings of $40, FICA of $20, federal income taxes of $26, and a healthcare payment of $8. What is Kiki’s net pay?

Back

$206

Front

Which expenditures make up the greatest share of state spending?

Back

Education and health care

Front

The graph shows a hypothetical tax rate as a function of income. Which of the following statements about the graph is true? The tax is progressive, The tax is regressive, The tax is proportional, The tax collects the same dollar amount from all earners

Back

The tax is proportional

Front

Maricela calculated that she owes $2,493 in federal taxes after all deductions and credits. Her W-2 states that $2,670 was withheld in federal tax. This means that Maricela…

Back

Will receive a refund of $177

Front

Each of these is a common payroll deduction EXCEPT…
Options:
Federal income taxes
FICA
Health insurance plan

Back

Office supplies and equipment

Front

Which statement best describes the difference between being paid a wage versus being paid a salary? Options: A wage is an hourly rate below $20 per hour, while a salary is an hourly rate above $20 per hour, A wage is paid based on how many hours you work, while a salary is a fixed amount paid regardless of the number of hours, A wage is paid every two weeks, while a salary is paid monthly, A wage is paid to part-time employees, while a salary is paid to full-time employees

Back

A wage is paid based on how many hours you work, while a salary is a fixed amount paid regardless of the number of hours

Front

Who should consider completing a W-4 form? Aaliyah, who wants to enroll in her company’s 401(k) program for the first time; Bruno, who just adopted a baby and wants to adjust his tax withholdings; Carter, who is considering a career change and wants to update his resume; Denise, who doesn’t like her company’s health insurance plan options.

Back

Bruno, who just adopted a baby and wants to adjust his tax withholdings

Front

Which of the following is true about state taxes? Options: The federal government determines state tax rates, States can levy property taxes and sales taxes, but not income taxes, Sales tax rates are the same in all states, but income tax rates are different, The largest state programs funded by state taxes are education and healthcare

Back

The largest state programs funded by state taxes are education and healthcare

Front

Payroll taxes are different from income taxes in all of the following ways, EXCEPT…

Back

Payroll tax rates scale upward with income, while income taxes are a flat rate across all earning levels.

Front

All of the following are reasons that you might receive a 1099 statement EXCEPT…
Working as an independent contractor, Receiving unemployment benefits, Earning interest or dividends on investments

Back

Working as a full-time employee for a business