The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
Which of the following is LEAST likely to be considered when
looking at the security of a new payroll system?
A. regular data back-up and storage
B. protection against computer viruses
C. limited system access
D. system edits -
correct answer ✅D. system edits
Company deadlines for payroll data input documents are essential
for:
A. timely processing of the payroll
B. accurate entry of data
C. guaranteeing that all information is processed
D. adequate auditing purposes -
correct answer ✅A. timely processing of the payroll
An employee earns $9 per hour and an additional 10 cents per hour
for hours worked after 7:00 p.m. If an employee works from
2:00p.m. to 11:00p.m., with an unpaid meal break from 6:00 p.m.
to 7:00p.m., Monday through Friday, what is the employee's weekly
gross pay under the Fair Labor Standards Act?
,The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
A. $360
B. $361
C. $362
D. $364 -
correct answer ✅C. $362 (40x$9)+(20x$.10)=$362
The BEST reason for tracking pay-related problem statistics is to
enable Payroll to:
A. identify root causes and take actions to prevent similar
recurrences
B. apologize to clients in a more professional manner
C. direct problems to those who caused the problem
D. justify more resources to handle more problems -
correct answer ✅A. identify rout caused and take actions to
prevent similar recurrences
With regard to employees' reported tips, the employer must:
A. withhold and pay only the employees' portion of social security
and Medicare taxes on tips
B. report taxes on tips separately when making an employment tax
deposit
,The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
C. report tips as wages on Form W-2 and pay the employer portion
of social security and Medicare taxes
D. report and pay the employer portion of social security and
Medicare taxes on the portion of cash tips above the federal
minimum wage -
correct answer ✅C. report tips as wages on Form W-2 and pay the
employer portion of social security and Medicare taxes
Transactions are recorded in chronological order into books of
original entry called:
A. registers
B. vouchers
C. invoices
D. journals -
correct answer ✅D. journals
The KEY advantage of using an automated time and attendance
system is that it:
A. identifies phantom employees
B. reduces errors
C. interfaces with the payroll system
, The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
D. frees supervisors from having to review hours -
correct answer ✅B reduces errors
As part of the implementation of a new payroll system, all
transactions from the most recent actual payroll are processed in
the new system prior to using the system to run payrolls. This is an
example of what type of testing?
A. compliance
B. back-up
C. ongoing
D. parallel -
correct answer ✅D. parallel
To exhibit good customer service skills, payroll staff must
understand and be able to explain:
A. payroll forms
B. benefits enrollment techniques
C. systems design decisions
D. strategic departmental direction -
correct answer ✅A. payroll forms
Actual Questions and Answers 2026
Which of the following is LEAST likely to be considered when
looking at the security of a new payroll system?
A. regular data back-up and storage
B. protection against computer viruses
C. limited system access
D. system edits -
correct answer ✅D. system edits
Company deadlines for payroll data input documents are essential
for:
A. timely processing of the payroll
B. accurate entry of data
C. guaranteeing that all information is processed
D. adequate auditing purposes -
correct answer ✅A. timely processing of the payroll
An employee earns $9 per hour and an additional 10 cents per hour
for hours worked after 7:00 p.m. If an employee works from
2:00p.m. to 11:00p.m., with an unpaid meal break from 6:00 p.m.
to 7:00p.m., Monday through Friday, what is the employee's weekly
gross pay under the Fair Labor Standards Act?
,The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
A. $360
B. $361
C. $362
D. $364 -
correct answer ✅C. $362 (40x$9)+(20x$.10)=$362
The BEST reason for tracking pay-related problem statistics is to
enable Payroll to:
A. identify root causes and take actions to prevent similar
recurrences
B. apologize to clients in a more professional manner
C. direct problems to those who caused the problem
D. justify more resources to handle more problems -
correct answer ✅A. identify rout caused and take actions to
prevent similar recurrences
With regard to employees' reported tips, the employer must:
A. withhold and pay only the employees' portion of social security
and Medicare taxes on tips
B. report taxes on tips separately when making an employment tax
deposit
,The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
C. report tips as wages on Form W-2 and pay the employer portion
of social security and Medicare taxes
D. report and pay the employer portion of social security and
Medicare taxes on the portion of cash tips above the federal
minimum wage -
correct answer ✅C. report tips as wages on Form W-2 and pay the
employer portion of social security and Medicare taxes
Transactions are recorded in chronological order into books of
original entry called:
A. registers
B. vouchers
C. invoices
D. journals -
correct answer ✅D. journals
The KEY advantage of using an automated time and attendance
system is that it:
A. identifies phantom employees
B. reduces errors
C. interfaces with the payroll system
, The Payroll Source CPP Practice Exam
Actual Questions and Answers 2026
D. frees supervisors from having to review hours -
correct answer ✅B reduces errors
As part of the implementation of a new payroll system, all
transactions from the most recent actual payroll are processed in
the new system prior to using the system to run payrolls. This is an
example of what type of testing?
A. compliance
B. back-up
C. ongoing
D. parallel -
correct answer ✅D. parallel
To exhibit good customer service skills, payroll staff must
understand and be able to explain:
A. payroll forms
B. benefits enrollment techniques
C. systems design decisions
D. strategic departmental direction -
correct answer ✅A. payroll forms
