Payroll Exam 6 Questions and Answers
100% Pass
In the garnishment process, federal tax levies take secondary priority to wages
withheld for child support orders. - ✔✔True
The information needed in preparing a journal entry to record the wages earned,
deductions from wages, and net amount paid each payday is obtained from the payroll
register. - ✔✔True
In all computerized payroll systems, there is still the need to manually post from the
printed payroll journal entry to the general ledger. - ✔✔False
The payroll register is used by employers in completing Forms W-2. - ✔✔False
The employer keeps track of each employee's accumulated wages in the employee's
earnings record. - ✔✔True
In calculating overtime premium earnings at one and a half times the regular hourly
rate, the overtime hours are multiplied by one-half the hourly rate of pay. - ✔✔True
Katelyn Whitman, All Rights Reserved © 2025 1
,When recording the employer's payroll taxes, a liability account entitled Employers
Payroll Taxes Payable is credited for the total taxes owed (FICA, FUTA, and SUTA). -
✔✔False
The payment of the FUTA tax and the FICA taxes by the employer to the IRS is
recorded in the same journal entry. - ✔✔False
In the case of a federal tax levy, the employee will notify the employer of the amount to
take out of his or her paycheck. - ✔✔False
FICA Taxes Payable—HI is a liability account in which is recorded the liability of the
employer for the HI tax on the employer as well as for the HI tax withheld from
employees' wages. - ✔✔True
Disposable earnings are the earnings remaining after withholding only federal income
taxes. - ✔✔False
The totals from the first payroll of the year are shown below.
TotalEarnings $36,195.10
FICA OASDI $2,244.10
FICA HI $524.83
FIT W/H $6,515.00
StateTax 361.95
Katelyn Whitman, All Rights Reserved © 2025 2
, UnionDues $500.00
NetPay $26,049.22
Journalize the entry to record the payroll. - ✔✔Wages Exp 36195.10
OASDI pay 2244.10
HI Pay. 524.83
FIT Pay. 6515
SIT Pay. 361.95
Union Pay. 500
Cash 26049.22
The totals from the first payroll of the year are shown below.
TotalEarnings $36,195.10
FICA OASDI $2,244.10
FICA HI $524.83
FIT W/H $6,515.00
StateTax 361.95
UnionDues $500.00
NetPay $26,049.22
Katelyn Whitman, All Rights Reserved © 2025 3
100% Pass
In the garnishment process, federal tax levies take secondary priority to wages
withheld for child support orders. - ✔✔True
The information needed in preparing a journal entry to record the wages earned,
deductions from wages, and net amount paid each payday is obtained from the payroll
register. - ✔✔True
In all computerized payroll systems, there is still the need to manually post from the
printed payroll journal entry to the general ledger. - ✔✔False
The payroll register is used by employers in completing Forms W-2. - ✔✔False
The employer keeps track of each employee's accumulated wages in the employee's
earnings record. - ✔✔True
In calculating overtime premium earnings at one and a half times the regular hourly
rate, the overtime hours are multiplied by one-half the hourly rate of pay. - ✔✔True
Katelyn Whitman, All Rights Reserved © 2025 1
,When recording the employer's payroll taxes, a liability account entitled Employers
Payroll Taxes Payable is credited for the total taxes owed (FICA, FUTA, and SUTA). -
✔✔False
The payment of the FUTA tax and the FICA taxes by the employer to the IRS is
recorded in the same journal entry. - ✔✔False
In the case of a federal tax levy, the employee will notify the employer of the amount to
take out of his or her paycheck. - ✔✔False
FICA Taxes Payable—HI is a liability account in which is recorded the liability of the
employer for the HI tax on the employer as well as for the HI tax withheld from
employees' wages. - ✔✔True
Disposable earnings are the earnings remaining after withholding only federal income
taxes. - ✔✔False
The totals from the first payroll of the year are shown below.
TotalEarnings $36,195.10
FICA OASDI $2,244.10
FICA HI $524.83
FIT W/H $6,515.00
StateTax 361.95
Katelyn Whitman, All Rights Reserved © 2025 2
, UnionDues $500.00
NetPay $26,049.22
Journalize the entry to record the payroll. - ✔✔Wages Exp 36195.10
OASDI pay 2244.10
HI Pay. 524.83
FIT Pay. 6515
SIT Pay. 361.95
Union Pay. 500
Cash 26049.22
The totals from the first payroll of the year are shown below.
TotalEarnings $36,195.10
FICA OASDI $2,244.10
FICA HI $524.83
FIT W/H $6,515.00
StateTax 361.95
UnionDues $500.00
NetPay $26,049.22
Katelyn Whitman, All Rights Reserved © 2025 3
