Unit 3 Review: Income and Taxes

An employee's fixed agreed yearly income. 

• Salary
• Deductions
• Wages
• Commission

Total money you earn before taxes and other deductions.

• Salary
• Net income
• Gross income
• Wages

The amount of money you actually receive after the deductions are taken from your gross income.

• Net income
• Deductions
• Wages
• Tax

A deduction is

• gross income

• money added to your income

• net income

• money taken out of your income

Gross income is:

• the total amount of money you earn

• the amount of money you receive after decuctions are subtracted

• the total amount of money you spend

• sales taxes on items you buy

What is an annual salary?

• What you are paid each month
• What you earn over the course of a year.

An employee who is paid monthly is paid _______ times a year.

• 12

• 24

• 6

salary employees are exampted from overtime. Is this a positive or negative of recieving a salary

• Positive

• Negative

What type of tax form does an independent Contractor complete?

(a)  

What form of investment income is the result of a company distributing some/all of its profits to shareholders?

• Capital Gain

• Dividend

• Interest

• Premium