chp 10 terrible accounting

The social security tax, or FICA tax, is paid by: Multiple choice question.

both the employee and employer

The Medicare tax is withheld by the employer on behalf of: Multiple choice question.

both the employee and the employer

The general journal entry to record payroll expense will include which of the following entries

credit to salaries and wages payable credit to Medicare Tax Payable debit to wages expense

The amount of federal income tax withheld from employees is dependent upon

marital status number of withholding allowances length of pay period

The Fair Labor Standards Act of 1938 sets:

maximum hours of work per week to be performed at the regular rate of pay minimum hourly rate of pay

Federal law requires that certain payroll records be maintained. For each employee the employer must keep a record of

name, address, social security number, and birth date taxes withheld hours worked and wages paid proof of citizenship

A payroll register contains which of the following columns:

number of hours gross amount social security Medicare

A record of payroll information, including computation of gross and net pay, for each employee for the pay period is called a _______.

payroll register

Pay can be determined by which of the following methods:

piece-rate basis commission basis salary basis hourly rate basis

Taxes levied by the federal government against employers to benefit unemployed workers are called federal

unemployment

A method used to determine the amount of federal income tax to be withheld using a table provided by the government is called the

wage-bracket table

The general journal entry to record payroll includes a debit to

wages and salary expense for gross pay

A company has one employee. During the week, the employee worked 40 hours per week, and is paid at an hourly rate of $10 per hour. Assume social security tax is 6.2%, Medicare tax is 1.45%, and the employee's federal tax withholding is $46. The entry to record this employee's payroll will include a debit to:

wages expense for $400.00

A business that writes payroll checks from a separate payroll bank account will:

write a check from the general account to the payroll account write payroll checks from the payroll bank account

A person who is hired by and works under the control and direction of the employer is called a(n

1: employee

A federal act providing certain benefits for employees and their families, such as retirement benefits and disability benefits, is known as the_______________ ____________ act

Blank 1: Social Blank 2: Security

The most popular method of paying employees is

Blank 1: direct Blank 2: deposit

Salaried employees who hold supervisory or managerial positions are called ___________________employees, because they are not subject to the maximum hour and overtime premium pay provisions of the Wage and Hour Law.

Blank 1: exempt

A company has one employee. During the week, the employee worked 40 hours per week, and is paid at an hourly rate of $10 per hour. Assume social security tax is 6.2%, Medicare tax is 1.45%, and the employee's federal tax withholding is $20. The entry to record this employee's payroll will include a debit to wages__________________ in the amount of $ _______(omit $ and commas).

Blank 1: expense Blank 2: 400.00

Social security tax is withheld by the employer; the employer periodically sends payment to the

Blank 1: federal Blank 2: government

The Medicare Tax is withheld by the employer; payments are then sent to the

Blank 1: federal Blank 2: government

The entries to record the weekly payroll are posted from the general journal to the

Blank 1: general Blank 2: ledger

Using a separate payroll account provides for better_______control.

Blank 1: internal

A record of payroll information, including computation of gross and net pay, for each employee for the pay period is called a

Blank 1: payroll Blank 2: register

A record of payroll information, including computation of gross and net pay, for each employee for the pay period is called a_________ _______

Blank 1: payroll Blank 2: register

Federal law requires that employers must keep a record of:

Cumulative wages throughout the year

What documents are used to determine total hours worked?

Time card Weekly time sheet

A company has one employee. During the week, the employee worked 40 hours per week, and is paid at an hourly rate of $10 per hour. Assume social security tax is 6.2%, Medicare tax is 1.45%, and the employee's federal tax withholding is $20. The entry to record this employee's payroll will include which of the following entries

credit to wages payable for $349.40 credit to social security tax payable for $24.80, Medicare tax payable for $5.80, and federal income tax payable for $20 debit to wages expense for $400.00

The weekly entries in the general journal to record payments to employees includes which of the following entries

debit to salaries and wages payable credit to cash

An individual earnings report records:

employee information needed to compute earnings and complete tax reports

The wage-bracket table method is a method used to calculate __________ withholdings from an employees gross pay.

federal income tax

The weekly payroll is posted from the general journal to the

general ledger

An employee record that contains information needed to compute earnings and complete tax reports is called a(n)

individual earnings record

The weekly entries in the general journal to record payments to employees include a debit to _______.

salaries and wages payable

The general journal entry to record payroll expense will include a credit to which of the following accounts

social security tax payable

Generally, a taxpayer can claim a withholding allowance for: Multiple choice question.

taxpayer

The final calculation in a payroll register is to make sure that

the total regular earnings plus total overtime earnings equals the gross amount