Labour Day Sale Limited Time 70% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: scxmas70

CPP-Remote Exam Dumps - Certified Payroll Professional

Question # 4

Which for the following statements is true?

A.

A company's fiscal year must not be the same as the calendar year

B.

A company's fiscal year must be the same as the calendar year

C.

A company may designate its fiscal year to cover 12 months that differ from the calendar year

D.

A company must produce Forms W-2 at the end of its fiscal year regardless of the calendar

Full Access
Question # 5

Which of the following is usually considered an advantage for outsourcing payroll?

A.

All of the business needs can be met with no customizations

B.

Tax withholding updates in the system are the responsibility of the service provider

C.

The employer is relieved of all compliance responsibility

D.

Business decisions transfer to the outsource provider

Full Access
Question # 6

Which of the following employers are exempt from the provisions of IRCA?

A.

Privately held employers

B.

Employers with annual revenues under $10,000

C.

All employers are subject to compliance

D.

Employers with less than 2 employees

Full Access
Question # 7

Which of the following statements is CORRECT regarding a federal tax levy?

A.

It does not have to be honored if any other garnishments have been served.

B.

It is limited only by the amount of the employee's net pay

C.

It is continued each pay period until a release of levy is received.

D.

It requires a new order for each pay period.

Full Access
Question # 8

Josh, a nonexempt accounting specialist, is assigned to a normal work schedule of 40 hours a week, 8:00 a.m. to 5:00 p.m. each day, with one hour for lunch. On Monday, Josh travels by train from Boston to a business meeting in his company's Philadelphia office. The train leaves at 8:00 a.m. and arrives in time for Josh to attend the afternoon meeting, which concludes at 5:30 p.m. He then returns to Boston on a train that leaves at 7:00 p.m. If Josh does not miss any work the rest of the week, what hours for Monday may be subject to overtime?

A.

0.5 hours

B.

8.5 hours

C.

None

D.

2.0 hours

Full Access
Question # 9

If an employee working abroad with a tax home in a foreign country passes the "physical presence test," to what may the employee be eligible?

A.

Foreign service premium

B.

Employer-paid housing expenses

C.

Hardship allowance

D.

Income exclusions

Full Access
Question # 10

Use of which of the following contributes to the security of the payroll system?

A.

Field level access restriction

B.

Aggregate withholding

C.

Reversal entry

D.

Quality program

Full Access
Question # 11

At the time that wages are paid, an advance payment of EIC would be recorded as:

A.

Debit FIT payable, credit cash

B.

Debit cash, credit EIC payable

C.

Debit EIC payable, credit FICA payable

D.

Debit EIC payable, credit cash

Full Access
Question # 12

A company has a gross payroll of $120,589.36. Federal taxes withheld are $24,117.87; combined social security and Medicare taxes withheld are $6,502.50. What is the company's total tax liability for this pay period?

A.

$37,122.87

B.

$30.620.37

C.

$42,568.04

D.

$61,240.74

Full Access
Question # 13

Chicken Liken requires that all employees wear uniforms that are unique to chicken Liken restaurants. New employees are required to pay $40 for their uniforms from their first regular paycheck. Assume that it is September 2009, and one of ties new employees earns $8.20 per hour and works 42 hours in the first workweek ending September 18. What is the maximum that Chicken Liken can deduct from this employees wages for the uniform?

A.

$0

B.

$48.10

C.

$38.00

D.

$39.90

Full Access
Question # 14

The proper handling of a stop payment includes all of the following steps EXCEPT:

A.

notifying the bank account reconciliation employees

B.

documenting the reason for the transaction

C.

reversing the direct deposit

D.

cancelling the payment in the payroll system

Full Access
Question # 15

Assume that an independent contractor is a foreign person. What form is he most likely to complete?

A.

Form W-9

B.

Form W-8BEN

C.

Form W-4

D.

Form W-7

Full Access
Question # 16

Brenda receives a prize as a winner of a sales contest. The prize, which is paid from her sales manager's petty cash account, is $25. Which of the following best represents the impact on her taxable wages?

A.

The prize is a de minims gift and excluded from taxable wages

B.

The prize represents a "gift of detached generosity" and is excluded from taxable income

C.

The prize represents a non-accountable business expense reimbursement and is subject to FIT, FITW, FICA, and FUTA

D.

The prize is subject to FIT, FITW, FICA, and FUTA

Full Access
Question # 17

For an employee earning $10.20 per hour and participating in a 401(k) plan with a deferral per pay period of $50, compute the federal taxable wages based on the following: Biweekly pay period Regular 80 hours 4 hours overtime 3 hours double-time:

A.

$731.40

B.

$938.40

C.

$898.60

D.

$888.40

Full Access
Question # 18

The Fair Labor Standards Act permits compensatory time off in lieu of overtime pay to which of the following employees?

A.

High school students who work over 8 hours in a day

B.

Salespeople who work out of their homes

C.

Municipal firefighters

D.

Retirees who return for part-time work

Full Access
Question # 19

Which of the following is an example of a system production control technique?

A.

Payroll department members change their passwords each week

B.

External auditors verify payroll account balances prior to commenting on financial statements

C.

Cut-off dates for data entry are established with remote users

D.

Check stock is maintained under lock and key

Full Access
Question # 20

In 2009, employee Chris was transferred from her company's headquarters to a distribution center 1,000 miles away. The company reimbursed her for meal expenses totaling $100 and lodging expenses totaling $300 incurred while driving from her old residence to her new. Chris' company directly paid the moving company $2,000 for transporting her household goods. What portion of Chris' employer-paid relocation expenses is reported in box 1, "wages, tips, other compensation?"

A.

$100

B.

$2,400

C.

$2,300

D.

$0

Full Access
Question # 21

When paying supplemental wages along with regular wages WITHOUT specifying the amount of each, how would a company determine the amount of income tax to withhold from the supplemental wages if the employee has been paid no supplemental wages so far during the year and the supplemental wage payment is no more than $1,000?

A.

Withhold income tax as if the total were a single payment for a regular payroll period.

B.

Withhold a flat 25% from the supplemental wages and withhold from regular wages using the appropriate table.

C.

Withhold a flat 25% from the supplemental wages.

D.

Compute income tax withholding on the regular wages separate from the supplemental wages

Full Access
Question # 22

The correct entry to record a payment of the employer's share of FICA tax is:

A.

Debit salary expense, credit tax withheld

B.

Debit payroll tax expense, credit cash

C.

Debit tax withheld, credit salary expense

D.

Debit cash, credit payroll tax expense

Full Access
Question # 23

Which of the following accounts has a normal credit balance?

A.

Expense

B.

Asset

C.

Cash

D.

Liability

Full Access
Question # 24

Which of the following items represents an input interface to the payroll system?

A.

material usage records

B.

general ledger

C.

benefit payments

D.

time and attendance

Full Access
Question # 25

Employer-sponsored athletic facilities may not be nontaxable fringe benefits if the:

A.

facility qualifies as a de minims fringe

B.

employer incurs no substantial additional cost, except labor, to provide the facility

C.

employer requires substantiation of the amount, time, and business purpose of the facility's use.

D.

facility is on the employer's premises

Full Access
Question # 26

Which of the following sets of data should be maintained on the payroll master file?

A.

Primary physician's name, and phone number

B.

Name, address, occupation

C.

Next of kin relationship

D.

Children's names and birth dates

Full Access
Question # 27

Transactions are recorded in chronological order into books of original entry called:

A.

registers

B.

journals

C.

vouchers

D.

invoices

Full Access
Question # 28

Federal unemployment tax must be accrued for which of the following?

A.

Taxable group-term life

B.

Wages paid to federal employees

C.

Deceased worker's final wage payment in year of death

D.

Tip income under $20 per month

Full Access
Question # 29

Which of the following documents proves both identity and right to work for Form I-9 verification purposes?

A.

U.S. Passport

B.

Social Security card

C.

Driver's license

D.

Birth Certificate

Full Access
Question # 30

Which of the following plans describes a cafeteria plan under section 125 of the Internal Revenue code?

A.

a quantified and accountable expense reimbursement plan

B.

a tax-qualified retirement plan for public education institutions

C.

a plan which permits employees to select two or more qualified taxable and nontaxable benefits

D.

a plan whereby state government employees may request that pretax dollars be set aside in a retirement account until age 39

Full Access
Question # 31

Under FLSA, how many hours must be paid at the overtime rate of pay for the following biweekly period assuming the employer is a hospital qualified under the special provisions of the FLSA?

 

A.

8

B.

4

C.

15

D.

14

Full Access
Question # 32

Nice Guys Inc. has a short-term disability plan, provided by a third-party insurance company, for its factory workers. Employees do not pay for this benefit. Roberta received $400 a month for four months during the six-month coverage period. How did the third-party payer tax Roberta's disability payments?

A.

No tax was withheld on any payments

B.

Federal Income tax was withheld on $400 in each of the four months

C.

Social Security and Medicare taxes were withheld on the value of the premium paid by the employer

D.

Social Security and Medicare taxes were withheld on $400 in each of the four months.

Full Access
Question # 33

Under the FLSA, which of the following restrictions apply when hiring minors under the age 18?

A.

Work cannot be performed pursuant to jobs considered hazardous by the U.S. Department of Labor

B.

They are not subject to overtime

C.

Social Security and Medicare are not deducted for the first 90 days

D.

If the employees do not have drivers' licenses, the employer may not hire them

Full Access
Question # 34

Which of the following describes a plan involving the entire organization for carrying on a company's business in the event of a major disaster?

A.

Groupware

B.

Implementation plan

C.

Production plan

D.

Business continuity

Full Access
Question # 35

All of the following data elements are required to be maintained in the employee master file EXCEPT:

A.

birth date

B.

marital status

C.

occupation

D.

social security number

Full Access
Question # 36

Employee data need not be entered in both the payroll system and the time and attendance system when which of the following is used?

A.

An interface

B.

Open systems

C.

A firewall

D.

A password

Full Access
Question # 37

A report has been requested that is NOT a standard report from the system. This type of report is called a (n):

A.

batch system report

B.

integrated report

C.

edit report

D.

ad-hoc report

Full Access