PAYROLL ACCOUNTING CH 1 EXAM
QUESTIONS AND ANSWERS 100% CORRECT!
, What is the purpose of a payroll system? - ANSWER Job planning; strategic HRM; cost
mgmt; benefit analysis
What are some differences between Large and Small company payroll practices? -
ANSWER - Large) many departments; portals, websites; rely on payroll service
vendors.
- Small) fewer payroll transactions; may lack training.
**Volume; handling of payroll records.
What is Certified Payroll? Which companies must use it? - ANSWER Way that the
federal government keeps track of the money spent as part of government contracts
over $2000.
- Companies who do business with the federal government.
Why might it be a good idea to let ee's manage their payroll records? What could be
some pitfalls? - ANSWER Can see PTO time; track benefits.
Could be unethical and they would be able to clock in with their phone
What are some ways that a payroll system may protect a company in the event of a visit
from a gov auditor? - ANSWER Computer based systems to help limit human error and
expedite processing.
What is Payroll Outsourcing? When might a company consider outsourcing its payroll? -
ANSWER When a company chooses an outside provider to handle all payroll needs.
Larger) are able to manage complexity
Smaller) not cost efficient; can use different analytics.
Give 3 examples of federal laws that are essential to ensure legal, fair hiring practices?
- ANSWER - Equal Pay Act
- Civil Rights Act
- ADEA
- ADA
What are the major types of payroll processing methods? - ANSWER - Computer based
- Internet based
QUESTIONS AND ANSWERS 100% CORRECT!
, What is the purpose of a payroll system? - ANSWER Job planning; strategic HRM; cost
mgmt; benefit analysis
What are some differences between Large and Small company payroll practices? -
ANSWER - Large) many departments; portals, websites; rely on payroll service
vendors.
- Small) fewer payroll transactions; may lack training.
**Volume; handling of payroll records.
What is Certified Payroll? Which companies must use it? - ANSWER Way that the
federal government keeps track of the money spent as part of government contracts
over $2000.
- Companies who do business with the federal government.
Why might it be a good idea to let ee's manage their payroll records? What could be
some pitfalls? - ANSWER Can see PTO time; track benefits.
Could be unethical and they would be able to clock in with their phone
What are some ways that a payroll system may protect a company in the event of a visit
from a gov auditor? - ANSWER Computer based systems to help limit human error and
expedite processing.
What is Payroll Outsourcing? When might a company consider outsourcing its payroll? -
ANSWER When a company chooses an outside provider to handle all payroll needs.
Larger) are able to manage complexity
Smaller) not cost efficient; can use different analytics.
Give 3 examples of federal laws that are essential to ensure legal, fair hiring practices?
- ANSWER - Equal Pay Act
- Civil Rights Act
- ADEA
- ADA
What are the major types of payroll processing methods? - ANSWER - Computer based
- Internet based
