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WorksheetsAccounting - Chapter 12
Total questions: 33
Worksheet time: 17mins
A deduction from total earnings for each person legally supported by a taxpayer, including the employee.
Payroll taxes
Withholding allowance
Social Security tax
None of the above
A qualified retirement plan that allows tax-free withdrawals from the account
Roth individual retirement account
Individual retirement account
401(k)
None of the above
A method of paying an employee based on the amount of sales the employee generates
Salary
Commission
Net pay
Payroll
A qualified retirement plan sponsored by an employer
Roth individual retirement account
Individual retirement account
401(k)
None of the above
The payment of an employee's net pay using electronic funds transfer
Electronic funds transfer
Net pay
Voucher check
Direct Deposit
A retirement savings plan approved by the Internal Revenue Service that provides individuals with a tax benefit
Roth individual retirement account
Qualified retirement plan
Individual retirement plan
401(k)
A computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents
Direct Deposit
Electronic funds transfer
Voucher check
None of the above
A single person will have more income tax withheld than a married employee
True
False
Businesses use payroll records to inform employees of their annual earnings and to prepare payroll reports for the government
True
False
Social security tax is paid by both employees and employers
True
False
Qualified retirement plans are approved by an act of Congress
True
False
Total earnings are sometimes referred to as net pay
True
False
The investment income in a Roth IRA is not subject to federal income taxes when withdrawn
True
False
When an employee's earnings exceed the tax base, no more social security tax is deducted
True
False
A business is required by law to withhold certain payroll taxes from employee salaries
True
False
The larger the number of withholding allowances claimed, the larger the amount of income tax withheld
True
False
The amount of income tax withheld from each employee's total earnings is determined solely from the number of withholding allowances
True
False
The total earnings paid to an empoyee after payroll taxes and other deductions is recorded in the payroll register's
Total Earnings column
Net Pay column
Total Deductions column
Gross Pay column
A business form used to record details affecting payments made to an employee is a(n)
Tax withholding form
Employee earnings record
Payroll journal
Employee accounts payable record
The Accumulated Earnings column of the employee earnings record
Shows net pay for the year
Is the total earnings since the first of the year
Shows net pay for one quarter
Is the gross earnings for one quarter
Each employee name is listed in a payroll register along with
Employee number
Martial status
Withholding allowances
All of these
Employee regular earnings are calculated as
Regular hours times regular rate
Total hours divided by regular rate
Total hours plus overtime rate
Overtime hours minus overtime rate
Individual payroll checks are usually written on a(n)
Special purposes account
Company's regular checking account
Separate payroll checking account
Employee earnings account
Federal income tax is withheld from employee earnings
In all 50 states
Only in those states electing to do so
In states without a state income tax
Only in states where a state income tax is levied
The withholding allowances of an employee affect
Federal Unemployment tax owed
Social Security tax withheld
State Unemployment tax owed
Federal Income tax withheld
The total earnings paid to an employee after payroll taxes and other deductions
Gross Pay
Commission
Salary
Net Pay
A qualified retirement plan that provides the most individuals with a deferred federal income tax benefit
Roth individual retirement account
Qualified retirement plan
Individual retirement account
401(k)
