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CPP Certified Payroll Professional APA
Master Exam Practice
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.
Form SS-5 - -Correct Answer-Apply for an original Social Security card
Apply for a replacement Social Security card
1
, 2
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
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
Escheat laws - -Correct Answer-Refer to unclaimed property obligations.
Companies who issue checks-for wages, payroll, employee commissions,
returnable garnishments, deferred compensation, payroll services or
bonuseshave a potential (and probable) unclaimed property obligation.
2
, 3
Schedule D (Form 941) - -Correct Answer-to explain certain discrepancies
(caused by acquisitions, statutory mergers, and consolidations) between
Forms W-2, Wage and Tax Statement (Copy A), and Forms 941, Employer's
QUARTERLY Federal Tax Return, for the totals of social security wages,
Medicare wages and tips, social security tips, federal income tax withheld,
and advance earned income credit (EIC) payments
Workweek for 14 and 15-year-olds - -Correct Answer-Outside school hours,
and on school days including Fridays, no more than 3 hours.
No more than 8 hours on a non-school day.
When school is in session, no more than 18 hours per week.
No more than 40 hours during a week when school is out.
Between the hours of 7 a.m. And 7 p.m, extended to 9 p.m. Between June 1
and Labor Day.
1) Which form is used for Determination of Employee Work Status for
Purposes of Federal Employment Taxes and Income Tax Withholding?
A. Form I-9
B. Form SS-4
C. Form SS-5
D. Form SS-8 - -Correct Answer-D
2) What amount must an independent contractor be paid for services
rendered before an employer is obligated to give them a 1099-MISC?
A. Once total reaches $600 or more
3
, 4
B. Total payments reach $600 or more for company's fiscal year
C. Total payments reach $600 or more for calendar year
D. Any individual payment makes during calendar year exceeding $600 - -
Correct Answer-C
3) Qualified real estate agents and direct sellers are which of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - -Correct Answer-B
4) Under the common law test, the IRS examiners are to group the evidence
they gather into three general types or "categories" Which of the following is
not one of them?
A. Behavioral control
B. Financial control
C. Location of work
D. Relationship of the parties - -Correct Answer-C
5) Which of the following is not regulated by the FLSA?
A. Child labor
B. Overtime pay
C. Minimum Wage Rates
D. 8 hour work day - -Correct Answer-D
4
CPP Certified Payroll Professional APA
Master Exam Practice
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.
Form SS-5 - -Correct Answer-Apply for an original Social Security card
Apply for a replacement Social Security card
1
, 2
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
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
Escheat laws - -Correct Answer-Refer to unclaimed property obligations.
Companies who issue checks-for wages, payroll, employee commissions,
returnable garnishments, deferred compensation, payroll services or
bonuseshave a potential (and probable) unclaimed property obligation.
2
, 3
Schedule D (Form 941) - -Correct Answer-to explain certain discrepancies
(caused by acquisitions, statutory mergers, and consolidations) between
Forms W-2, Wage and Tax Statement (Copy A), and Forms 941, Employer's
QUARTERLY Federal Tax Return, for the totals of social security wages,
Medicare wages and tips, social security tips, federal income tax withheld,
and advance earned income credit (EIC) payments
Workweek for 14 and 15-year-olds - -Correct Answer-Outside school hours,
and on school days including Fridays, no more than 3 hours.
No more than 8 hours on a non-school day.
When school is in session, no more than 18 hours per week.
No more than 40 hours during a week when school is out.
Between the hours of 7 a.m. And 7 p.m, extended to 9 p.m. Between June 1
and Labor Day.
1) Which form is used for Determination of Employee Work Status for
Purposes of Federal Employment Taxes and Income Tax Withholding?
A. Form I-9
B. Form SS-4
C. Form SS-5
D. Form SS-8 - -Correct Answer-D
2) What amount must an independent contractor be paid for services
rendered before an employer is obligated to give them a 1099-MISC?
A. Once total reaches $600 or more
3
, 4
B. Total payments reach $600 or more for company's fiscal year
C. Total payments reach $600 or more for calendar year
D. Any individual payment makes during calendar year exceeding $600 - -
Correct Answer-C
3) Qualified real estate agents and direct sellers are which of the following?
A. Statutory Employees
B. Statutory Nonemployees
C. Employees
D. Independent Contractors - -Correct Answer-B
4) Under the common law test, the IRS examiners are to group the evidence
they gather into three general types or "categories" Which of the following is
not one of them?
A. Behavioral control
B. Financial control
C. Location of work
D. Relationship of the parties - -Correct Answer-C
5) Which of the following is not regulated by the FLSA?
A. Child labor
B. Overtime pay
C. Minimum Wage Rates
D. 8 hour work day - -Correct Answer-D
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