FPC-REMOTE Online Practice Questions and Answers

a retail sales clerk took advantage of the company's employee discount program to purchase clothes at 10% off the normal retail price. this service represents:

A. taxable compensation

B. a qualified employee discount

C. a working condition fringe

D. a no-additional cost service

when does an employer stop deducting a federal tax levy from an employee's wages?

A. the amount on the levy is reached

B. The IRS issues a form 668-D

C. the employee asks that the levy deduction be stopped

What is a general ledger?

A. a summary of transactions by date

B. the first place transactions are recorded

C. a chronological record of daily transactions

D. a record of transactions by account

For her 10 years of service, an employee was given a gold necklace valued at $100. Which of the following is true?

A. the gift must be included in her taxable compensation

B. the gift is tax free

C. only social security and medicare tax should be withheld on the fair market value of the award

D. only federal income tax should be withheld on the fair market value of the award

All of the following statements about FLSA overtime regulations are true EXCEPT:

A. a bonus paid under a union contract is included in the regular rate of pay

B. a holiday bonus, paid at the discretion of the employer is excluded from the regular rate of pay

C. the weeks regular rate of pay must include shift premiums

D. employers must pay overtime when employees work more than 8 hours in a workday.

An employee works from midnight to 8am on a company paid holiday but does not work more than 40 hours during the workweek. under the FLSA, the employee must be paid:

A. double time for working the holiday

B. time and one half for working the holiday

C. a shift differential for working the late night shift

D. at least the federal minimum wage

A semiweekly depositor has a liability of $79,000 from Weds payday and a liability of $50,000 from Friday's payday. The deposit is due by the:

A. next monday

B. next weds

C. next friday

D. 15th of the month

In what part of a 2020 form w4 does an employee claim dependents?

A. step 3

B. writing below step 4c

C. step 2

D. dependents are not claimed on form W4

An employer provides an employee $300 each month in bus tokens so she can commute to work. How much of this expense is taxable?

A. $135

B. $270

C. $280

D. $300

For a payment after the employee's death in the year of the death, what taxes, if any, will be withheld?

A. federal income tax only

B. social security and medicare taxes only

C. both federal income and social security and medicare taxes

D. no taxes will be withheld