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CPP Certified Payroll Professional APA
Master Practice Exam 2025 | Certified
Questions With Answers
Form SS-8 - correct-answer-Determination of Worker Status for Purposes of
Federal Employment Taxes and Income Tax Withholding
Form W-9 - correct-answer-First, it is used by third parties to collect identifying
information to help file information returns with the IRS.
The form is never actually sent to the IRS, but is maintained by the person who
files the information return for verification purposes.
The information on the Form W-9 and the payment made are reported on a Form
1099.
The second purpose is to help the payee avoid backup withholding. The payer
must collect withholding taxes on certain reportable payments for the IRS.
However, if the payee certifies on the W-9 they are not subject to backup
withholding they generally receive the full payment due them from the payer. This
is similar to the withholding exemptions certifications found on Form W-4 for
employees.
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Form SS-5 - correct-answer-Apply for an original Social Security card
Apply for a replacement Social Security card
Change or correct information on your Social Security number record
Form SS-4 - correct-answer-Application for Employer Identification Number (EIN)
Accounting equation (Balance Sheet) - correct-answer-Assets = Liabilities + Capital
Assets - Liabilities = (Shareholders' or Owners' Equity)
Asset (Debit or Credit Normal Balance?) - correct-answer-Debit
Expense (Debit or Credit Normal Balance?) - correct-answer-Debit
Liability (Debit or Credit Normal Balance?) - correct-answer-Credit
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Capital (Debit or Credit Normal Balance?) - correct-answer-Credit
Owners Equity (Debit or Credit Normal Balance?) - correct-answer-Credit
Revenue (Debit or Credit Normal Balance?) - correct-answer-Credit
401k Catch-up contribution (> age 50) - correct-answer-$6,000
Standard Business Miles - correct-answer-.545 of 54.5 cents is taxable
FUTA - correct-answer-6%
$7000 wage base
From what taxes are cafeteria plan contributions generally exempt?
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A. SS, Medi, FIT, and FUTA
B. FIT and SIT
C. SS, Medi, FUTA, and SUI
D. SS, Medi, FIT, and SIT - correct-answer-A. Social Security, Medicare, FIT, and
FUTA
In which boxes on the W-2 would you report the adoption assistance?
A. Boxes 3, 4, 5, 6
B. Boxes 1, 2, 3, 4, 5, 6, 12 - Code T
C. Boxes 3, 4, 5, 6, 12 - Code A
D. Boxes 3, 4, 5, 6, 12- Code T - correct-answer-D. Boxes 3, 4, 5, 6, 12- Code T
Which account is generally listed first on a corporate balance sheet?
A. Investments in subsidiary companies
B. Land and improvements
C. Prepaid expenses
D. Buildings and other property - correct-answer-C. Prepaid expenses
CPP Certified Payroll Professional APA
Master Practice Exam 2025 | Certified
Questions With Answers
Form SS-8 - correct-answer-Determination of Worker Status for Purposes of
Federal Employment Taxes and Income Tax Withholding
Form W-9 - correct-answer-First, it is used by third parties to collect identifying
information to help file information returns with the IRS.
The form is never actually sent to the IRS, but is maintained by the person who
files the information return for verification purposes.
The information on the Form W-9 and the payment made are reported on a Form
1099.
The second purpose is to help the payee avoid backup withholding. The payer
must collect withholding taxes on certain reportable payments for the IRS.
However, if the payee certifies on the W-9 they are not subject to backup
withholding they generally receive the full payment due them from the payer. This
is similar to the withholding exemptions certifications found on Form W-4 for
employees.
,2|Page
Form SS-5 - correct-answer-Apply for an original Social Security card
Apply for a replacement Social Security card
Change or correct information on your Social Security number record
Form SS-4 - correct-answer-Application for Employer Identification Number (EIN)
Accounting equation (Balance Sheet) - correct-answer-Assets = Liabilities + Capital
Assets - Liabilities = (Shareholders' or Owners' Equity)
Asset (Debit or Credit Normal Balance?) - correct-answer-Debit
Expense (Debit or Credit Normal Balance?) - correct-answer-Debit
Liability (Debit or Credit Normal Balance?) - correct-answer-Credit
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Capital (Debit or Credit Normal Balance?) - correct-answer-Credit
Owners Equity (Debit or Credit Normal Balance?) - correct-answer-Credit
Revenue (Debit or Credit Normal Balance?) - correct-answer-Credit
401k Catch-up contribution (> age 50) - correct-answer-$6,000
Standard Business Miles - correct-answer-.545 of 54.5 cents is taxable
FUTA - correct-answer-6%
$7000 wage base
From what taxes are cafeteria plan contributions generally exempt?
, 4|Page
A. SS, Medi, FIT, and FUTA
B. FIT and SIT
C. SS, Medi, FUTA, and SUI
D. SS, Medi, FIT, and SIT - correct-answer-A. Social Security, Medicare, FIT, and
FUTA
In which boxes on the W-2 would you report the adoption assistance?
A. Boxes 3, 4, 5, 6
B. Boxes 1, 2, 3, 4, 5, 6, 12 - Code T
C. Boxes 3, 4, 5, 6, 12 - Code A
D. Boxes 3, 4, 5, 6, 12- Code T - correct-answer-D. Boxes 3, 4, 5, 6, 12- Code T
Which account is generally listed first on a corporate balance sheet?
A. Investments in subsidiary companies
B. Land and improvements
C. Prepaid expenses
D. Buildings and other property - correct-answer-C. Prepaid expenses
