HRB /
FINAL EXAM QUESTIONS WITH CORRECT ANSWERS
/ // // // // //
What /
/is /
/the /
/Difference /
/between /
/earned /
/income /
/and /
/unearned /
/income? //- /
/CORRECT /
/ANSWERS(S)✔✔Earned /
/income /
/is /
/received /
/for /
/services /
/performed. /
/Examples /
/are /
/wages /
/commissions, /
/tips //and //generally //farming //and //other //business //income //. //Taxable //income //other //than //that
//received /
/for /
/services /
/performed. /
/Unearned /
/Income /
/includes /
/money /
/received /
,/ro /
/the /
/investment /
/of /
/money /
/or /
/other /
/property, /
/such /
/as /
/interest, /
/dividends, /
/and /
/royalties. /
/It /
/also /
/includes /
/pensions //alimony, //unemployment //compensation //and //other //income //that //is //not //earned
If /
/an /
/employee /
/thinks /
/their /
/Form /
/W2 /
/is /
/incorrect, /
/what /
/should /
/they /
/do? //- /
/CORRECT /
/ANSWERS(S)✔✔Employee /
/should /
/discuss /
/with /
,/employer /
/who /
/issued /
/the /
/document /
/and /
/request //
a //W2C. //If //no //help //from //employer, //notify //IRS. //Tax //prepaper //can //then //file //a //substitute.
What /
/information /
/do /
/you /
/need /
/to /
/know /
/to /
/determine /
/whether //
a/
/taxpayer /
/is /
/required /
/to /
/file //
a/
/return? //- /
/CORRECT //ANSWERS(S)✔✔Gross //income, //filing //status, //age //and //if //they //are //a //dependent
For /
/tax /
/purposes, /
/when /
/is //
a/
, /person's /
/marital //status //determined? //- //CORRECT //ANSWERS(S)✔✔On //the //last //day //of //the //tax //year
Where /
/on /
/the /
/tax /
/form /
/can /
/you /
/find /
/the /
/regular /
/standard /
/deduction /
/amounts? //- /
/CORRECT /
/ANSWERS(S)✔✔Line /
/22 /
/on //1040A, //In //the //left //margin //at //the //top //of //the //page //2 //of //forms //1040 //and //1040A. //Look
//at //actual //form //to //look //for //line
How /
/much /
/is /
/added /
/to /
/the /
/standard /
/deduction /
/if /
/the /
/taxpayer /
/(or /
/spouse /
/is /
FINAL EXAM QUESTIONS WITH CORRECT ANSWERS
/ // // // // //
What /
/is /
/the /
/Difference /
/between /
/earned /
/income /
/and /
/unearned /
/income? //- /
/CORRECT /
/ANSWERS(S)✔✔Earned /
/income /
/is /
/received /
/for /
/services /
/performed. /
/Examples /
/are /
/wages /
/commissions, /
/tips //and //generally //farming //and //other //business //income //. //Taxable //income //other //than //that
//received /
/for /
/services /
/performed. /
/Unearned /
/Income /
/includes /
/money /
/received /
,/ro /
/the /
/investment /
/of /
/money /
/or /
/other /
/property, /
/such /
/as /
/interest, /
/dividends, /
/and /
/royalties. /
/It /
/also /
/includes /
/pensions //alimony, //unemployment //compensation //and //other //income //that //is //not //earned
If /
/an /
/employee /
/thinks /
/their /
/Form /
/W2 /
/is /
/incorrect, /
/what /
/should /
/they /
/do? //- /
/CORRECT /
/ANSWERS(S)✔✔Employee /
/should /
/discuss /
/with /
,/employer /
/who /
/issued /
/the /
/document /
/and /
/request //
a //W2C. //If //no //help //from //employer, //notify //IRS. //Tax //prepaper //can //then //file //a //substitute.
What /
/information /
/do /
/you /
/need /
/to /
/know /
/to /
/determine /
/whether //
a/
/taxpayer /
/is /
/required /
/to /
/file //
a/
/return? //- /
/CORRECT //ANSWERS(S)✔✔Gross //income, //filing //status, //age //and //if //they //are //a //dependent
For /
/tax /
/purposes, /
/when /
/is //
a/
, /person's /
/marital //status //determined? //- //CORRECT //ANSWERS(S)✔✔On //the //last //day //of //the //tax //year
Where /
/on /
/the /
/tax /
/form /
/can /
/you /
/find /
/the /
/regular /
/standard /
/deduction /
/amounts? //- /
/CORRECT /
/ANSWERS(S)✔✔Line /
/22 /
/on //1040A, //In //the //left //margin //at //the //top //of //the //page //2 //of //forms //1040 //and //1040A. //Look
//at //actual //form //to //look //for //line
How /
/much /
/is /
/added /
/to /
/the /
/standard /
/deduction /
/if /
/the /
/taxpayer /
/(or /
/spouse /
/is /
