ACCOUNTING 101 IVY TECH FINAL EXAM
SCRIPT 2026 FULL QUESTIONS AND
CORRECT ANSWERS GUARANTEED PASS
GRADED A+
⩥ Remote deposit.
Answer: The process of capturing checks and deposits electronically for
presentation to a financial institution. (p. 274)
⩥ Service charge.
Answer: The fee the bank charges for handling checks, collections, and
other items. It is in the form of a debit memorandum. (p. 280)
⩥ Signature card.
Answer: The form a depositor signs to give the bank a copy of the
official signatures of any persons authorized to sign checks. The bank
can use it to verify the depositors signatures on checks. (p. 274)
⩥ Substitute check.
Answer: The creation of a two-sided digital version of an original check.
(p. 274)
⩥ FICA taxes.
,Answer: Social Security taxes plus Medicare taxes, paid by both
employee and employer under the provisions of the Federal Insurance
Contributions Act. The proceeds are used to pay old-age and disability
pensions and to fund the Medicare program. (p. 325)
⩥ Gross pay.
Answer: The total amount of an employee's pay before any deductions.
(p. 323)
⩥ Independent contractor.
Answer: Someone who is engaged for a definite job or service and who
may choose his or her own means of doing the work. This person is not
an employee of the firm for which the service is provided. (p. 324)
⩥ Net pay.
Answer: Gross pay minus deductions. Also called take-home pay. (p.
323)
⩥ Payroll bank account.
Answer: A special checking account used to pay a company's
employees. (p. 339)
⩥ Medicare taxes.
, Answer: Federal government taxes levied on employees and employers;
proceeds are used for medical insurance for eligible people aged 65 and
over. (p. 325)
⩥ Payroll register.
Answer: A manual or computerized schedule prepared for each payroll
period listing the earnings, deductions and net pay for each employee.
(p. 334)
⩥ Pre-tax deductions.
Answer: Employee deductions that are not subject to income tax. The
deductions include medical insurance premiums medical and dependent
care expenses under a flexible spending pland, and 401(k) contributions.
(p. 329)
⩥ Social Security Act of 1935.
Answer: An act that provides for worker retirement funding through
deductions from workers' wages and matching amounts from their
employers. (p. 325)
⩥ Social Security taxes.
Answer: Federal government taxes levied on employees and employers;
proceeds ar used for old-age pensions and disability benefits. (p. 325)
⩥ Taxable earnings.
SCRIPT 2026 FULL QUESTIONS AND
CORRECT ANSWERS GUARANTEED PASS
GRADED A+
⩥ Remote deposit.
Answer: The process of capturing checks and deposits electronically for
presentation to a financial institution. (p. 274)
⩥ Service charge.
Answer: The fee the bank charges for handling checks, collections, and
other items. It is in the form of a debit memorandum. (p. 280)
⩥ Signature card.
Answer: The form a depositor signs to give the bank a copy of the
official signatures of any persons authorized to sign checks. The bank
can use it to verify the depositors signatures on checks. (p. 274)
⩥ Substitute check.
Answer: The creation of a two-sided digital version of an original check.
(p. 274)
⩥ FICA taxes.
,Answer: Social Security taxes plus Medicare taxes, paid by both
employee and employer under the provisions of the Federal Insurance
Contributions Act. The proceeds are used to pay old-age and disability
pensions and to fund the Medicare program. (p. 325)
⩥ Gross pay.
Answer: The total amount of an employee's pay before any deductions.
(p. 323)
⩥ Independent contractor.
Answer: Someone who is engaged for a definite job or service and who
may choose his or her own means of doing the work. This person is not
an employee of the firm for which the service is provided. (p. 324)
⩥ Net pay.
Answer: Gross pay minus deductions. Also called take-home pay. (p.
323)
⩥ Payroll bank account.
Answer: A special checking account used to pay a company's
employees. (p. 339)
⩥ Medicare taxes.
, Answer: Federal government taxes levied on employees and employers;
proceeds are used for medical insurance for eligible people aged 65 and
over. (p. 325)
⩥ Payroll register.
Answer: A manual or computerized schedule prepared for each payroll
period listing the earnings, deductions and net pay for each employee.
(p. 334)
⩥ Pre-tax deductions.
Answer: Employee deductions that are not subject to income tax. The
deductions include medical insurance premiums medical and dependent
care expenses under a flexible spending pland, and 401(k) contributions.
(p. 329)
⩥ Social Security Act of 1935.
Answer: An act that provides for worker retirement funding through
deductions from workers' wages and matching amounts from their
employers. (p. 325)
⩥ Social Security taxes.
Answer: Federal government taxes levied on employees and employers;
proceeds ar used for old-age pensions and disability benefits. (p. 325)
⩥ Taxable earnings.
