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3.3 Contract For & Of Service

Total questions: 7

Worksheet time: 4mins

Name
Class
Date
1.

What is the main difference between a contract of service and a contract for services?

a)

The level of control over work arrangements

b)

The type of tools provided by the employer

c)

The number of clients an individual can work for

d)

The location where work is performed

2.

Which test assesses if the individual is 'part and parcel' of the employer's organization?

a)

Integration Test

b)

Multiple/Economic Reality Test

c)

Autonomy and Control Test

d)

Control Test

3.

What do employers typically provide in a contract of service?

a)

Training programs for skill development

b)

Financial incentives for completing tasks

c)

Flexible work hours

d)

Tools, equipment, and subject employees to company policies

4.

What are independent contractors responsible for in terms of taxes and social security?

a)

They receive tax exemptions as independent contractors

b)

They are responsible for their own taxes and social security

c)

They have no responsibility for taxes or social security

d)

Employers handle all tax and social security matters

5.

In the event of the employer's bankruptcy, who has fewer rights to outstanding payments?

a)

Both have equal rights

b)

Independent contractors

c)

Employees

d)

It depends on the specific contract terms

6.

Which factor has limitations in determining the employment relationship due to highly skilled professionals having more autonomy?

a)

Control Test

b)

Integration Test

c)

Multiple Clients Test

d)

Self-Reliance Test

7.

Why is it important to understand the distinction between contracts of service and contracts for services?

a)

To ensure legal standing in the employment relationship

b)

To increase tax liabilities

c)

To limit employee rights

d)

To reduce employer responsibilities