THE PAYROLL SOURCE C PP

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THE PAYROLL SOURCE C PP

PRACTICE EXAM LATEST

UPDATE ACTUAL EXAM 1 00

QUESTIONS AND 100% VERIFIED

CORRECT ANSWERS

GUARANTEED A+

Question 1: Which of the following features is LEAST

likely to be considered when looking at the security of a new payroll system?

• regular data back-up and storage
• protection against computer viruses
• limited system access
• system edits

CORRECT ANSWER: d. system edits

Question 2: Company deadlines for payroll data input

documents are essential for:

• timely processing of the payroll

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• accurate entry of data
• guaranteeing that all information is processed
• adequate auditing purposes

CORRECT ANSWER: a. timely processing of the

payroll

Question 3: The BEST reason for tracking pay-related

problem statistics is to enable Payroll to:

• identify root causes and take actions to prevent similar

recurrences

• apologize to clients in a more professional manner
• direct problems to those who caused the problem
• justify more resources to handle more problems

CORRECT ANSWER: a. identify root causes and take

actions to prevent similar recurrences

Question 4: With regard to EEs' reported tips, the ER

must:

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• withhold and pay only the EEs' portion of FICA taxes

on tips

• report tax on tips separately when making an

employment tax deposit

• report tips as wages on Form W-2 and pay the ER

portion of FICA taxes

• report and pay the ER portion of FICA taxes on the

portion of cash tips above the federal minimum wage

CORRECT ANSWER: c. report tips as wages on Form

W-2 and pay the ER portion of FICA taxes

Question 5: Transactions are recorded in chronological

order into books of original entry called:

• registers
• vouchers
• invoices
• journals

CORRECT ANSWER: d. journals

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Question 6: The KEY advantage of using an automated

time and attendance system is that it:

• identifies phantom EEs
• reduces errors
• interfaces with the payroll system
• frees supervisors from having to review hours

CORRECT ANSWER: b. reduces errors

Question 7: As part of the implementation of a new

payroll system, all transactions from the most recent actual payroll are processed in the new system prior to using the system to run payrolls. This is an example of what type of testing?

• compliance
• back-up
• ongoing
• parallel