CPP Certified Payroll Professional APA WITH CORRECT ANSWERS
Form SS-8 - correct answerDetermination of Worker Status for Purposes of Federal
Employment Taxes and Income Tax Withholding
Form W-9 - correct answerFirst, it is used by third parties to collect identifying
information to help file information returns with the IRS.
The form is never actually sent to the IRS, but is maintained by the person who files the
information return for verification purposes.
The information on the Form W-9 and the payment made are reported on a Form 1099.
The second purpose is to help the payee avoid backup withholding. The payer must
collect withholding taxes on certain reportable payments for the IRS. However, if the
payee certifies on the W-9 they are not subject to backup withholding they generally
receive the full payment due them from the payer. This is similar to the withholding
exemptions certifications found on Form W-4 for employees.
Form SS-5 - correct answerApply for an original Social Security card
Apply for a replacement Social Security card
Change or correct information on your Social Security number record
Form SS-4 - correct answerApplication for Employer Identification Number (EIN)
Accounting equation (Balance Sheet) - correct answerAssets = Liabilities + Capital
Assets - Liabilities = (Shareholders' or Owners' Equity)
Asset (Debit or Credit Normal Balance?) - correct answerDebit
Expense (Debit or Credit Normal Balance?) - correct answerDebit
Liability (Debit or Credit Normal Balance?) - correct answerCredit
Capital (Debit or Credit Normal Balance?) - correct answerCredit
Owners Equity (Debit or Credit Normal Balance?) - correct answerCredit
Revenue (Debit or Credit Normal Balance?) - correct answerCredit
Escheat laws - correct answerRefer to unclaimed property obligations. Companies who
issue checks-for wages, payroll, employee commissions, returnable garnishments,
deferred compensation, payroll services or bonuseshave a potential (and probable)
unclaimed property obligation.
,Schedule D (Form 941) - correct answerto explain certain discrepancies (caused by
acquisitions, statutory mergers, and consolidations) between Forms W-2, Wage and
Tax Statement (Copy A), and Forms 941, Employer's QUARTERLY Federal Tax
Return, for the totals of social security wages, Medicare wages and tips, social security
tips, federal income tax withheld, and advance earned income credit (EIC) payments
Workweek for 14 and 15-year-olds - correct answerOutside school hours, and on school
days including Fridays, no more than 3 hours.
No more than 8 hours on a non-school day.
When school is in session, no more than 18 hours per week.
No more than 40 hours during a week when school is out.
Between the hours of 7 a.m. And 7 p.m, extended to 9 p.m. Between June 1 and Labor
Day.
1) Which form is used for Determination of Employee Work Status for Purposes of
Federal Employment Taxes and Income Tax Withholding?
A. Form I-9
B. Form SS-4
C. Form SS-5
D. Form SS-8 - correct answerD
2) What amount must an independent contractor be paid for services rendered before
an employer is obligated to give them a 1099-MISC?
A. Once total reaches $600 or more
B. Total payments reach $600 or more for company's fiscal year
C. Total payments reach $600 or more for calendar year
D. Any individual payment makes during calendar year exceeding $600 - correct
answerC
3) Qualified real estate agents and direct sellers are which of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - correct answerB
4) Under the common law test, the IRS examiners are to group the evidence they
gather into three general types or "categories" Which of the following is not one of
them?
A. Behavioral control
B. Financial control
C. Location of work
D. Relationship of the parties - correct answerC
5) Which of the following is not regulated by the FLSA?
A. Child labor
B. Overtime pay
,C. Minimum Wage Rates
D. 8 hour work day - correct answerD
6) Agent-drivers, commission-drivers and full-time life insurance salespersons are which
of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - correct answerA
7) There are three parts of the ABC test, which is not one of them?
A. Business-unusual and/ or away
B. Risk of loss
C. Customarily independent contractor
D. Absence of control - correct answerB
8) Under the federal new hire reporting requirement how many days does an employer
have after hire date?
A. 10 days
B. 20 days
C. 30 days
D. 40 days - correct answerB
9) What is Form I-9 used for?
A. Application for Employer Identification Number
B. Determination of Employee Work Status
C. Application for IRS Individual Taxpayer
D. Employment Eligibility Verification - correct answerD
10) Under the reasonable basis test, which of the following does not support an
employer's treatment of a worker as an independent contractor?
A. Past IRS employment tax audit
B. Published IRS rulings
C. Place of work
D. Private letter rulings - correct answerC
11) What does FLSA stand for?
A. Federal Labor Standards Act
B. Fair Labor Standards Act
C. Federal Labor Standards Agency
D. Fair Labor Standards Agency - correct answerB
12) Which of the following is not covered under the FLSA?
A. Regulate how often employees must be paid
B. Mandates equal pay for equal work
C. Requires recordkeeping by employers
, D. sets the minimum wage and overtime rates employees must receive for their work -
correct answerA
13) Who enforces the Federal Wage-Hour Law?
A. Individual States
B. IRS
C. EEOC
D. DOL - correct answerD
14) Who enforces the equal pay provisions?
A. Individual States
B. IRS
C. EEOC
D. DOL - correct answerC
15) Which is not one of the White Collar Exemption?
A. Administrative
B. Executive
C. Management
D. Professional employees - correct answerC
16) For overtime pay Which one is included in the regular rate?
A. Discretionary bonuses
B. Nondiscretionary bonuses
C. Gifts
D. Reimbursed expenses - correct answerB
17) For calculation of overtime pay Which one is not included in the regular rate?
A. Supplemental disability payments
B. On-call pay
C. Retroactive pay
D. Vacation pay - correct answerD
18) A computer professional must be paid at least what per hour to be exempt from
overtime requirements under the FLSA?
A. Minimum wage per hour
B. 21.55 per hour
C. 27.63 per hour
D. 29.67 per hour - correct answerC
20) What is the federal minimum wage rate?
A. 4.25
B. 5.85
C. 6.55
D. 7.25 - correct answerD
Form SS-8 - correct answerDetermination of Worker Status for Purposes of Federal
Employment Taxes and Income Tax Withholding
Form W-9 - correct answerFirst, it is used by third parties to collect identifying
information to help file information returns with the IRS.
The form is never actually sent to the IRS, but is maintained by the person who files the
information return for verification purposes.
The information on the Form W-9 and the payment made are reported on a Form 1099.
The second purpose is to help the payee avoid backup withholding. The payer must
collect withholding taxes on certain reportable payments for the IRS. However, if the
payee certifies on the W-9 they are not subject to backup withholding they generally
receive the full payment due them from the payer. This is similar to the withholding
exemptions certifications found on Form W-4 for employees.
Form SS-5 - correct answerApply for an original Social Security card
Apply for a replacement Social Security card
Change or correct information on your Social Security number record
Form SS-4 - correct answerApplication for Employer Identification Number (EIN)
Accounting equation (Balance Sheet) - correct answerAssets = Liabilities + Capital
Assets - Liabilities = (Shareholders' or Owners' Equity)
Asset (Debit or Credit Normal Balance?) - correct answerDebit
Expense (Debit or Credit Normal Balance?) - correct answerDebit
Liability (Debit or Credit Normal Balance?) - correct answerCredit
Capital (Debit or Credit Normal Balance?) - correct answerCredit
Owners Equity (Debit or Credit Normal Balance?) - correct answerCredit
Revenue (Debit or Credit Normal Balance?) - correct answerCredit
Escheat laws - correct answerRefer to unclaimed property obligations. Companies who
issue checks-for wages, payroll, employee commissions, returnable garnishments,
deferred compensation, payroll services or bonuseshave a potential (and probable)
unclaimed property obligation.
,Schedule D (Form 941) - correct answerto explain certain discrepancies (caused by
acquisitions, statutory mergers, and consolidations) between Forms W-2, Wage and
Tax Statement (Copy A), and Forms 941, Employer's QUARTERLY Federal Tax
Return, for the totals of social security wages, Medicare wages and tips, social security
tips, federal income tax withheld, and advance earned income credit (EIC) payments
Workweek for 14 and 15-year-olds - correct answerOutside school hours, and on school
days including Fridays, no more than 3 hours.
No more than 8 hours on a non-school day.
When school is in session, no more than 18 hours per week.
No more than 40 hours during a week when school is out.
Between the hours of 7 a.m. And 7 p.m, extended to 9 p.m. Between June 1 and Labor
Day.
1) Which form is used for Determination of Employee Work Status for Purposes of
Federal Employment Taxes and Income Tax Withholding?
A. Form I-9
B. Form SS-4
C. Form SS-5
D. Form SS-8 - correct answerD
2) What amount must an independent contractor be paid for services rendered before
an employer is obligated to give them a 1099-MISC?
A. Once total reaches $600 or more
B. Total payments reach $600 or more for company's fiscal year
C. Total payments reach $600 or more for calendar year
D. Any individual payment makes during calendar year exceeding $600 - correct
answerC
3) Qualified real estate agents and direct sellers are which of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - correct answerB
4) Under the common law test, the IRS examiners are to group the evidence they
gather into three general types or "categories" Which of the following is not one of
them?
A. Behavioral control
B. Financial control
C. Location of work
D. Relationship of the parties - correct answerC
5) Which of the following is not regulated by the FLSA?
A. Child labor
B. Overtime pay
,C. Minimum Wage Rates
D. 8 hour work day - correct answerD
6) Agent-drivers, commission-drivers and full-time life insurance salespersons are which
of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - correct answerA
7) There are three parts of the ABC test, which is not one of them?
A. Business-unusual and/ or away
B. Risk of loss
C. Customarily independent contractor
D. Absence of control - correct answerB
8) Under the federal new hire reporting requirement how many days does an employer
have after hire date?
A. 10 days
B. 20 days
C. 30 days
D. 40 days - correct answerB
9) What is Form I-9 used for?
A. Application for Employer Identification Number
B. Determination of Employee Work Status
C. Application for IRS Individual Taxpayer
D. Employment Eligibility Verification - correct answerD
10) Under the reasonable basis test, which of the following does not support an
employer's treatment of a worker as an independent contractor?
A. Past IRS employment tax audit
B. Published IRS rulings
C. Place of work
D. Private letter rulings - correct answerC
11) What does FLSA stand for?
A. Federal Labor Standards Act
B. Fair Labor Standards Act
C. Federal Labor Standards Agency
D. Fair Labor Standards Agency - correct answerB
12) Which of the following is not covered under the FLSA?
A. Regulate how often employees must be paid
B. Mandates equal pay for equal work
C. Requires recordkeeping by employers
, D. sets the minimum wage and overtime rates employees must receive for their work -
correct answerA
13) Who enforces the Federal Wage-Hour Law?
A. Individual States
B. IRS
C. EEOC
D. DOL - correct answerD
14) Who enforces the equal pay provisions?
A. Individual States
B. IRS
C. EEOC
D. DOL - correct answerC
15) Which is not one of the White Collar Exemption?
A. Administrative
B. Executive
C. Management
D. Professional employees - correct answerC
16) For overtime pay Which one is included in the regular rate?
A. Discretionary bonuses
B. Nondiscretionary bonuses
C. Gifts
D. Reimbursed expenses - correct answerB
17) For calculation of overtime pay Which one is not included in the regular rate?
A. Supplemental disability payments
B. On-call pay
C. Retroactive pay
D. Vacation pay - correct answerD
18) A computer professional must be paid at least what per hour to be exempt from
overtime requirements under the FLSA?
A. Minimum wage per hour
B. 21.55 per hour
C. 27.63 per hour
D. 29.67 per hour - correct answerC
20) What is the federal minimum wage rate?
A. 4.25
B. 5.85
C. 6.55
D. 7.25 - correct answerD
