1st Nine Weeks Review BMF I

Which one of the following could not be called income?

• A. allowance

• B. paycheck

• C. interest paid on a loan

• D. interest received from a savings account

What is the purpose of Form W-2?

• A. to itemize how much money was earned by an employee and how much was withheld and sent to the IRS

• B. to allow the employee to participate in a tax-deferred savings plan

• C. to document a refund or figure a balance due to the IRS each year

• D. to allow the employer to withhold federal income taxes from an employee's wages

Any money you receive such as an allowance or paycheck.

• A. net income

• B. payroll deductions

• C. income

• D. fixed expense

Money taken out of a paycheck by an employer to pay for taxes, health insurance, and other payments.

• A. net income

• B. payroll deductions

• C. fixed expense

• D. PYF - pay yourself first

Jada has elected to be paid by direct deposit at her new job. This means_____.

• A. She will receive her paycheck mailed directly to her each pay period.

• B. She will receive her pay automatically loaded onto her payroll card at the end of each pay period.

• C. She will receive her paycheck delivered to her at her place of employment at the end of each pay period.

• D. She will receive her pay directly into her checking account at her depository institution for each pay period.

Gross income - deductions = _____.

• A. employee benefits

• B. net income

• C. Medicare

• D. social security

Eboni learned in her Personal Finance class that some paycheck deductions are required and others are optional. She is checking over her paystub and sees several deductions. Which of the following would be TRUE?

• A. Federal Income Tax, State Income Tax, Social Security and Medicare deductions are all required deductions.

• B. Social Security, Medicare, Life Insurance, and Health Insurance are all required deductions.

• C. Federal Income Tax, State Income Tax, Workers Compensation, and Life Insurance are all required deductions.

• D. Social Security, Medicare, Federal Income Tax, and Workers Compensation are all required deductions.

A list of the qualifications for an entry-level job, mid-level job and upper-level job in a particular field is known as a(n):

• A. employment trend

• B. resume

• C. income path

• D. career ladder

More education will likely decrease:

• A. your chance of being unemployed

• B. the number of jobs available to you

• C. your salary

• D. on-the-job training

If you need money for college, the LAST option you should choose is:

• A. on-the-job training

• B. scholarships and grants

• C. a student loan

• D. upgrading to a new school half way through college