Cfl Test Questions And Answers With
Verified Solutions (Graded A+)
Payroll & Tax Terms
1. Payroll Equation
✔✔ Calculation of net pay from gross pay minus deductions
2. Gross Pay
✔✔ Total earnings before deductions and taxes
3. Net Pay
✔✔ Earnings after deductions and taxes
4. Income Tax
✔✔ Tax paid to federal, state, and local governments based on earned income
5. Allowance
✔✔ Amount subtracted from gross pay to determine taxable income
6. Dependent
✔✔ A person who relies on the taxpayer for financial support
7. Social Security
✔✔ Federal program providing disability and retirement benefits
8. Medicare
✔✔ Federal health insurance program for people 65 and older
Verified Solutions (Graded A+)
Payroll & Tax Terms
1. Payroll Equation
✔✔ Calculation of net pay from gross pay minus deductions
2. Gross Pay
✔✔ Total earnings before deductions and taxes
3. Net Pay
✔✔ Earnings after deductions and taxes
4. Income Tax
✔✔ Tax paid to federal, state, and local governments based on earned income
5. Allowance
✔✔ Amount subtracted from gross pay to determine taxable income
6. Dependent
✔✔ A person who relies on the taxpayer for financial support
7. Social Security
✔✔ Federal program providing disability and retirement benefits
8. Medicare
✔✔ Federal health insurance program for people 65 and older