Question 1

Using the following information, calculate the social security tax to be withheld.

Options :

A : $138.45

B : $141.47

C : $160.58

D : $202.60

Answer: B

Question 2

Under the FLSA, all of the following categories are defined as "white-collar" exemptions EXCEPT:

Options :

A : Executive

B : Administrative

C : Outside Sales

D : Computer Hardware Operators

Answer: D

Question 3

To reconcile a general ledger tax liability account balance, verify all of the following items EXCEPT:

Options :

A : Entries from company accountants

B : Checks issued by accounts payable

C : Account entries against the payroll register

D : Account activity against the quarterly returns

Answer: A

Question 4

The best practice is to start the annual reconciliation after the:

Options :

A : W-2 audit is complete

B : End of the first quarter

C : End of the calendar year

D : First payroll of the current year

Answer: A

Question 5

When an employer engages with a leasing company to lease an employee, the employer does NOT:

Options :

A : Hire and fire

B : Report wages

C : Set rate of pay

D : Supervise the work

Answer: B