THE PAYROLL SOURCE CPP FINAL EXAM
AND PRACTICE EXAM | NEWEST
ACTUAL EXAM COMPREHENSIVE
QUESTIONS AND VERIFIED ANSWERS
GRADED A+ | 100% PASS | 2025
UPDATE!
Which of the following statements describes a self-insured workers'
compensation plan?
a. The state pays the workers' compensation payments.
b. The ER funds the workers' compensation payments.
c. The wages will continue as if the EE is still working.
d. The individual EE is responsible for his own insurance. - ✔✔✔
Correct Answer > b. The ER funds the WC payments.
Which of the following outcomes is the PRIMARY advantage of
developing an in-house system?
a. Outsiders are not involved in a firm's daily operations.
b. Costs are reduced and can be distributed on an equitable basis.
c. The ER controls the entire computer system.
,d. Time is saved by not having to explain business policies and
practices. - ✔✔✔ Correct Answer > c. The ER controls the entire
computer system.
With online input, what is the BEST way to control miscellaneous
payments?
a. verification of a sample of entered data
b. a visual audit of the online activity report
c. an auditor's comparison of each input source document to the data
base record
d. a comparison of the online report totals to predetermined totals
taken from the source documents - ✔✔✔ Correct Answer > d. a
comparison of the online report totals to predetermined totals taken
from the source documents
An EE covered by group health insurance at the time his employment
terminates to return to school is entitled to COBRA continuation rights
for:
a. 12 months
b. 18 months
c. 24 months
d. 30 months - ✔✔✔ Correct Answer > b. 18 months
The proper handling of a stop payment includes all of the following
steps EXCEPT:
, a. reversing the direct deposit
b. canceling the payment in the payroll system
c. notifying the bank account reconciliation EEs
d. documenting the reason for the transaction - ✔✔✔ Correct
Answer > a. reversing the direct deposit
A request for proposal (RFP) can be used to:
a. provide vendors with technical and functional system requirements
b. request funds during a budget process
c. analyze needs for the system
d. assign programming resources to enhance functionality - ✔✔✔
Correct Answer > a. provide vendors with technical and functional
system requirements
The Family and Medical Leave Act requires ERs to maintain records for
at least:
a. 12 weeks
b. 1 year
c. 2 years
d. 3 years - ✔✔✔ Correct Answer > d. 3 years
How may FIT be withheld from separation pay and accrued vacation
wages totaling $20,000 that are paid at the time of termination and
AND PRACTICE EXAM | NEWEST
ACTUAL EXAM COMPREHENSIVE
QUESTIONS AND VERIFIED ANSWERS
GRADED A+ | 100% PASS | 2025
UPDATE!
Which of the following statements describes a self-insured workers'
compensation plan?
a. The state pays the workers' compensation payments.
b. The ER funds the workers' compensation payments.
c. The wages will continue as if the EE is still working.
d. The individual EE is responsible for his own insurance. - ✔✔✔
Correct Answer > b. The ER funds the WC payments.
Which of the following outcomes is the PRIMARY advantage of
developing an in-house system?
a. Outsiders are not involved in a firm's daily operations.
b. Costs are reduced and can be distributed on an equitable basis.
c. The ER controls the entire computer system.
,d. Time is saved by not having to explain business policies and
practices. - ✔✔✔ Correct Answer > c. The ER controls the entire
computer system.
With online input, what is the BEST way to control miscellaneous
payments?
a. verification of a sample of entered data
b. a visual audit of the online activity report
c. an auditor's comparison of each input source document to the data
base record
d. a comparison of the online report totals to predetermined totals
taken from the source documents - ✔✔✔ Correct Answer > d. a
comparison of the online report totals to predetermined totals taken
from the source documents
An EE covered by group health insurance at the time his employment
terminates to return to school is entitled to COBRA continuation rights
for:
a. 12 months
b. 18 months
c. 24 months
d. 30 months - ✔✔✔ Correct Answer > b. 18 months
The proper handling of a stop payment includes all of the following
steps EXCEPT:
, a. reversing the direct deposit
b. canceling the payment in the payroll system
c. notifying the bank account reconciliation EEs
d. documenting the reason for the transaction - ✔✔✔ Correct
Answer > a. reversing the direct deposit
A request for proposal (RFP) can be used to:
a. provide vendors with technical and functional system requirements
b. request funds during a budget process
c. analyze needs for the system
d. assign programming resources to enhance functionality - ✔✔✔
Correct Answer > a. provide vendors with technical and functional
system requirements
The Family and Medical Leave Act requires ERs to maintain records for
at least:
a. 12 weeks
b. 1 year
c. 2 years
d. 3 years - ✔✔✔ Correct Answer > d. 3 years
How may FIT be withheld from separation pay and accrued vacation
wages totaling $20,000 that are paid at the time of termination and
