Accounting Fundamentals

Which of the following terms describes payments correlated with hours worked by an employee?

• Wages

• Salary

• Time card

• Employee earnings record

Which of the following terms describes a regular, fixed amount paid to an employee for work performed?

• Wages

• Salary

• Time card

• Employee earnings record

Which of the following terms describes a record which contains details of an employee's payroll during a calendar year?

• Wages

• Salary

• Time card

• Employee earnings record

Which of the following is NOT a tax paid by both the employee and employer?

• FICA tax

• State unemployment tax

• State income tax

• Federal income tax

Which of the following terms describes a tax form which helps the employer determine the correct amount of tax to withhold from paychecks?

• W-2

• W-4

• W-9

• I-9

Kate has a pay rate of $15 per hour. She worked seven hours each days during the last 10 day pay period. What is Kate's gross wage?

• $105

• $150

• $1,000

• $1,050

Jenny's Jewels sold $750,000 worth of jewelry last year and the cost of goods sold was $420,000. How much were the gross earnings of Jenny's Jewels last year?

• $750,000

• $420,000

• $330,000

• $1,170,000

Janet makes $48,000 per year. The Social Security tax is 6.2% of her wages. Janet's company pays her one time each money. How much money is withheld from Janet's paycheck each month?

• $2,976

• $496

• $248

• $124

Christina makes $55,000 gross pay. When all of the withholdings and deductions are added together, they total $12,500 for the year. What is Christina's yearly net pay?

• $67,500

• $42,500

• $42,000

• $33,000

Henry made $42,000 in wages last year. If the Medicare tax is 1.45%, how much money was paid in total for the Medicare tax from Henry and Henry's employer last year?

• $609

• $1,218

• $5,880

• $6,090