Income and Tax Quiz

Which of the following is not a form of earned income?

• wages

• commissions

• rental income

• salaries

Income paid as a percentage of sales made by salesperson is a _____.

• tip

• wage

• bonus

• commission

What is the amount on which taxes are calculated?

• net pay

• gross income

• taxable income

• earned income

The _____ is a dollar amount that non-itemizers may subtract from their income before income tax is applied.

• itemized deduction

• taxable deduction

• exempted deduction

• standard deduction

What is it called when the federal government spends more money than it collects?

• deficit spending

• mandatory spending

• discretionary spending

• taxable spending

At what age do workers become eligible for full retirement benefits from Social Security?

• A. 55

• B. 59 1/2

• C. 65

• D. 67

Process of comparing the check register with the bank statement.

• Bank reconciliation

• Bank statement analysis

• Check balancing

• Account auditing

Plastic card that allows the holder to make credit purchases up to an authorized amount.

• Credit card

• Debit card

• Gift card

• Loyalty card

Signature on the back of a check.

• Endorsement

• Signature

• Approval

• Authorization

A subtraction from gross pay is called a __________________________.

• Deduction

• Addition

• Bonus

• Credit