Question : 51. A copy of the Form W-2 for each employee submitted : 1197561

 

 

51. A copy of the Form W-2 for each employee is submitted to the Social Security Administration along with 

A. Form 940.

B. Form 941.

C. Form 8109.

D. Form W-3.

 

52. Which of the following statements is not correct? 

A. A few states levy an unemployment tax on the employee that must be withheld from the employee’s pay.

B. One of the purposes of the unemployment insurance program is to stabilize employment and reduce unemployment.

C. The reduction of state unemployment taxes because of favorable experience ratings reduces the credit allowable against the federal unemployment tax.

D. The unemployment insurance program is a federal program.

 

53. Which of the following taxes is not withheld from an employee’s pay? 

A. Federal income tax

B. Social security tax

C. FUTA tax

D. Medicare tax

 

54. All of the following taxes are withheld from an employee’s pay except 

A. Federal income tax.

B. SUTA tax.

C. Medicare tax.

D. Social security tax.

 

55. To record the deposit of FUTA tax, the accountant would 

A. debit Payroll Taxes Expense and credit Federal Unemployment Tax Payable.

B. debit Payroll Taxes Expense and credit Cash.

C. debit Federal Unemployment Tax Payable and credit Cash.

D. debit Social Security Taxes Payable and credit Cash.

 

56. To record the payment of SUTA tax, the accountant would 

A. debit Payroll Taxes Expense and credit State Unemployment Tax Payable.

B. debit Payroll Taxes Expense and credit Cash.

C. debit Social Security Taxes Payable and credit Cash.

D. debit State Unemployment Tax Payable and credit Cash.

 

57. Employers usually record unemployment taxes at the end of each 

A. payroll.

B. month.

C. quarter.

D. year.

 

58. Most states require that the employer file the state return for unemployment taxes 

A. monthly.

B. quarterly.

C. annually.

D. each payroll period.

 

59. Generally, the base earnings subject to state unemployment taxes is 

A. smaller than the base for social security.

B. the same as the base for social security.

C. larger than the base for social security.

D. the amount of total earnings.

 

60. Tax returns for the federal unemployment tax are due 

A. weekly.

B. monthly.

C. quarterly.

D. annually.

 

 

 

61. This preprinted government form is used to report federal unemployment taxes. 

A. Form 940

B. Form 941

C. Form 8109

D. Form W-2

 

62. All of the following are internal control procedures that are recommended to protect payroll operations except 

A. assign new employees to work in payroll operations.

B. keep payroll records in locked files.

C. make voluntary deductions from employee earnings based only on a signed authorization from the employee.

D. retain all Forms W-4.

 

63. If at the end of the year the firm owes a balance for workers’ compensation insurance, the adjusting entry includes a 

A. debit to Workers’ Compensation Insurance Payable a credit to Workers’ Compensation Insurance Expense.

B. a debit to Workers’ Compensation Refund Receivable and a credit to Workers’ Compensation Insurance Expense.

C. a debit to Workers’ Compensation Insurance Expense and a credit to Workers’ Compensation Insurance Payable

D. a debit to Payroll Taxes Expense and a credit to cash.