CPP CERTIFIED PAYROLL PROFESSIONAL EXAM 2023-2024 ACTUAL EXAM 400 QUESTIONS AND CORRECT
DETAILED ANSWERS
When calculating an employee's net pay, all of the following amounts are subtracted from gross earnings
except: - (answer) Taxable Wages
The minimum salary requirement does not apply to exempt professional employees who are: -
(answer) Teachers working in an educational institution
What is the daily housing amount for the foreign housing cost exclusion for 2023? - (answer) 52.60
Under a Sec. 125 plan, all of the following benefits are qualified benefits EXCEPT: - (answer) Deferred
compensation to a 457(b) plan
When correcting Form 941, Line 2, Wages, tips, and other compensation, file Form: - (answer) 941-X
An employee who is supporting another family has $600.00 semimonthly disposable earnings. The
employee's child support payments are $580.00 semimonthly and more than 12 weeks in arrears. Under
the CCPA, calculate the maximum amount that can be deducted from the employee's pay for child
support. - (answer) $330.00
The maximum holding period for §401(k) plan contributions is: - (answer) The 15th business day of the
following month the deferral occurred
If an employee's net pay results in negative net pay, which of the following deductions can be reduced
or eliminated to bring the check to $0? - (answer) Voluntary deductions
Which of the following workers is an independent contractor? - (answer) A commercial artist
furnishing her own tools and equipment
What determines the tax liability in the event of an off-cycle check? - (answer) When the employee
receives the check
, CPP CERTIFIED PAYROLL PROFESSIONAL EXAM 2023-2024 ACTUAL EXAM 400 QUESTIONS AND CORRECT
DETAILED ANSWERS
Under the FLSA white-collar exemption rules, an exempt outside sales employee will meet all of the
following requirements EXCEPT: - (answer) Being paid a salary of at least $684.00 a week
Contributions to Health Savings Accounts may be made by: - (answer) Employer and employee
Which of the following payroll issues are governed only by the states? - (answer) Unclaimed wages
Which form is used by a local government employer when withholding only Medicare tax? - (answer)
Form 941
Due to poor accounting procedures and negligence, a company underdeposited its 2023 payroll tax
liability by $11,000.00. The error was corrected within five days of the due date. The company's total
federal income, social security, and Medicare tax liability was $150,000.00. The company may be subject
to: - (answer) Penalties for late deposit
The first step taken when giving employees the latitude to develop their own methods for achieving
results is to: - (answer) Establish the desired results
Reflective listening is: - (answer) Restating what you understand from the other's statements
An experienced systems analyst is having difficulty instituting state-mandated changes in handling child
support payments. Although working overtime, he struggles with the legal requirements and the
program is not operational. What style of management is most likely to be effective in handling the
employee's performance gap? - (answer) High task, high relationship
An employee earns $920.00 semimonthly. Deductions include $13.00 for federal income tax, $70.38 for
social security and Medicare taxes, and $100.00 for court-ordered child support payments. Calculate the
employee's semimonthly disposable pay. - (answer) $836.62
Disposable earnings are determined by subtracting all deductions required by law from an employee's
gross earnings. Deductions required by law include federal income, state income, local income, social
security and Medicare taxes.
DETAILED ANSWERS
When calculating an employee's net pay, all of the following amounts are subtracted from gross earnings
except: - (answer) Taxable Wages
The minimum salary requirement does not apply to exempt professional employees who are: -
(answer) Teachers working in an educational institution
What is the daily housing amount for the foreign housing cost exclusion for 2023? - (answer) 52.60
Under a Sec. 125 plan, all of the following benefits are qualified benefits EXCEPT: - (answer) Deferred
compensation to a 457(b) plan
When correcting Form 941, Line 2, Wages, tips, and other compensation, file Form: - (answer) 941-X
An employee who is supporting another family has $600.00 semimonthly disposable earnings. The
employee's child support payments are $580.00 semimonthly and more than 12 weeks in arrears. Under
the CCPA, calculate the maximum amount that can be deducted from the employee's pay for child
support. - (answer) $330.00
The maximum holding period for §401(k) plan contributions is: - (answer) The 15th business day of the
following month the deferral occurred
If an employee's net pay results in negative net pay, which of the following deductions can be reduced
or eliminated to bring the check to $0? - (answer) Voluntary deductions
Which of the following workers is an independent contractor? - (answer) A commercial artist
furnishing her own tools and equipment
What determines the tax liability in the event of an off-cycle check? - (answer) When the employee
receives the check
, CPP CERTIFIED PAYROLL PROFESSIONAL EXAM 2023-2024 ACTUAL EXAM 400 QUESTIONS AND CORRECT
DETAILED ANSWERS
Under the FLSA white-collar exemption rules, an exempt outside sales employee will meet all of the
following requirements EXCEPT: - (answer) Being paid a salary of at least $684.00 a week
Contributions to Health Savings Accounts may be made by: - (answer) Employer and employee
Which of the following payroll issues are governed only by the states? - (answer) Unclaimed wages
Which form is used by a local government employer when withholding only Medicare tax? - (answer)
Form 941
Due to poor accounting procedures and negligence, a company underdeposited its 2023 payroll tax
liability by $11,000.00. The error was corrected within five days of the due date. The company's total
federal income, social security, and Medicare tax liability was $150,000.00. The company may be subject
to: - (answer) Penalties for late deposit
The first step taken when giving employees the latitude to develop their own methods for achieving
results is to: - (answer) Establish the desired results
Reflective listening is: - (answer) Restating what you understand from the other's statements
An experienced systems analyst is having difficulty instituting state-mandated changes in handling child
support payments. Although working overtime, he struggles with the legal requirements and the
program is not operational. What style of management is most likely to be effective in handling the
employee's performance gap? - (answer) High task, high relationship
An employee earns $920.00 semimonthly. Deductions include $13.00 for federal income tax, $70.38 for
social security and Medicare taxes, and $100.00 for court-ordered child support payments. Calculate the
employee's semimonthly disposable pay. - (answer) $836.62
Disposable earnings are determined by subtracting all deductions required by law from an employee's
gross earnings. Deductions required by law include federal income, state income, local income, social
security and Medicare taxes.
