TESTBANKS BY TESTBANKSNERD
Solution Manual for Payroll Accounting 2024, 34th Edition
by Bernard J. Bieg, Bridget Stomberg
All Chapters (1 – 7) |Expert Verified Answers | Graded A+
,TESTBANKS BY TESTBANKSNERD
Chapter 1
Which Law?
1. K
2. H
3. B
4. F
5. I
6. J
7. A
8. D
9. G
10. C
11. E
12. L
Which Payroll Law?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s Ethical?
1. Answers will vary. Some concerns include data privacy and integrity in the software
switchover, tax and employee pay integrity on the new software, and employee pay methods.
,TESTBANKS BY TESTBANKSNERD
2. Answers will vary. Karsyn could choose to ignore her sorority sister’s request, claiming
Confidentiality. She could also discontinue active participation in the sorority. In any case,
Karsyn must not consent to her sorority sister’s request for confidential information.
Confidential Records
As the payroll clerk, your task is to protect the privacy and confidentiality of the information you
maintain for the company. If a student group—or any personnel aside from the company’s payroll
employees and officers—wishes to review confidential records, you should deny their request. If
needed, you should refer the group to your department’s manager to discuss the matter in more
depth. The laws that apply to this situation are the Privacy Act of 1974, U.S. Department of Health
and Human Services Privacy Act 09-40-0006, Common-Law Privacy Act, Computer Fraud and
Abuse Act, and potentially HIPAA.
Large vs. Small
1. Large companies face issues with multiple departments, employee access to online
personnel portals, employee data security, and timekeeping accuracy.
2. For small companies, payroll processing will involve fewer employees than for larger
companies. Smaller companies could maintain their payroll needs using company
personnel because of the lower volume of transactions. Larger companies need to
consider their available trained payroll accountants and other staff to determine if they
can reliably handle the volume of payroll needs in a timely and accurate manner.
What Is the Difference?
, TESTBANKS BY TESTBANKSNERD
a. Manual payroll systems involve the use of paper and pencil record-keeping or a
spreadsheet program, such as Microsoft Excel. This is most appropriate for very small
firms.
b. Computerized payroll systems can be used by any company, regardless of size. Examples of
computerized systems include QuickBooks, Sage 100, and Microsoft Dynamics 365 GP.
These computer packages range in price, depending on the company size and operational
scope.
c. Outsourced payroll involves the engagement of a third party to manage a company’s
payroll data, issue employee compensation, and prepare tax forms.
d. Certified payroll pertains to companies with employees who work on federal government
contracts. Certified payroll ensures that a company reports payroll expenditures of
contractually allocated money.
ANSWERS TO END-OF-CHAPTER MATERIALS REVIEW
QUESTIONS
1. What is the purpose of a payroll system?
a. Provide for internal and external reporting of employee wages and associated taxes,
payment of employee compensation, and monitoring of benefits to employees. It also
serves as a means of tracking labor costs that managers use for decision-making,
budgeting, and planning.
2. What are two differences between large- and small-company payroll practices?
a. Small companies would have fewer employees and reporting requirements and would
be less likely to be required to have automated payroll systems.
Solution Manual for Payroll Accounting 2024, 34th Edition
by Bernard J. Bieg, Bridget Stomberg
All Chapters (1 – 7) |Expert Verified Answers | Graded A+
,TESTBANKS BY TESTBANKSNERD
Chapter 1
Which Law?
1. K
2. H
3. B
4. F
5. I
6. J
7. A
8. D
9. G
10. C
11. E
12. L
Which Payroll Law?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s Ethical?
1. Answers will vary. Some concerns include data privacy and integrity in the software
switchover, tax and employee pay integrity on the new software, and employee pay methods.
,TESTBANKS BY TESTBANKSNERD
2. Answers will vary. Karsyn could choose to ignore her sorority sister’s request, claiming
Confidentiality. She could also discontinue active participation in the sorority. In any case,
Karsyn must not consent to her sorority sister’s request for confidential information.
Confidential Records
As the payroll clerk, your task is to protect the privacy and confidentiality of the information you
maintain for the company. If a student group—or any personnel aside from the company’s payroll
employees and officers—wishes to review confidential records, you should deny their request. If
needed, you should refer the group to your department’s manager to discuss the matter in more
depth. The laws that apply to this situation are the Privacy Act of 1974, U.S. Department of Health
and Human Services Privacy Act 09-40-0006, Common-Law Privacy Act, Computer Fraud and
Abuse Act, and potentially HIPAA.
Large vs. Small
1. Large companies face issues with multiple departments, employee access to online
personnel portals, employee data security, and timekeeping accuracy.
2. For small companies, payroll processing will involve fewer employees than for larger
companies. Smaller companies could maintain their payroll needs using company
personnel because of the lower volume of transactions. Larger companies need to
consider their available trained payroll accountants and other staff to determine if they
can reliably handle the volume of payroll needs in a timely and accurate manner.
What Is the Difference?
, TESTBANKS BY TESTBANKSNERD
a. Manual payroll systems involve the use of paper and pencil record-keeping or a
spreadsheet program, such as Microsoft Excel. This is most appropriate for very small
firms.
b. Computerized payroll systems can be used by any company, regardless of size. Examples of
computerized systems include QuickBooks, Sage 100, and Microsoft Dynamics 365 GP.
These computer packages range in price, depending on the company size and operational
scope.
c. Outsourced payroll involves the engagement of a third party to manage a company’s
payroll data, issue employee compensation, and prepare tax forms.
d. Certified payroll pertains to companies with employees who work on federal government
contracts. Certified payroll ensures that a company reports payroll expenditures of
contractually allocated money.
ANSWERS TO END-OF-CHAPTER MATERIALS REVIEW
QUESTIONS
1. What is the purpose of a payroll system?
a. Provide for internal and external reporting of employee wages and associated taxes,
payment of employee compensation, and monitoring of benefits to employees. It also
serves as a means of tracking labor costs that managers use for decision-making,
budgeting, and planning.
2. What are two differences between large- and small-company payroll practices?
a. Small companies would have fewer employees and reporting requirements and would
be less likely to be required to have automated payroll systems.
