SM 7-1
SOLUTIONS MANUAL:
PAYROLL ACCOUNTING 2024 LANDIN 34TH EDITION BY BERNARD J.
BIEG AND BRIDGET STOMBERG
Chapter 1-7
Chapter 1
Which Law?
1. K
2. H
3. B
4. F
5. I
6. J
7. A
8. D
9. G
10. C
, SM 7-2
11. E
12. L
Which Payroll Law?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s Ethical?
1. Answers will vary. Some concerns include data privacy and integrity in the software
switchover, tax and employee pay integrity on the new software, and employee pay methods.
, SM b7-3
Answers bwill bvary. bKarsyn bcould bchoose bto bignore bher bsorority bsister’s brequest, bclaiming
Confidentiality. bShe bcould balso bdiscontinue bactive bparticipation bin bthe bsorority. bIn bany bcase,
b
Karsyn bmust bnot bconsent bto bher bsorority bsister’s brequest bfor bconfidential binformation.
b
Confidential bRecords
As bthe bpayroll bclerk, byour btask bis bto bprotect bthe bprivacy band bconfidentiality bof bthe binformation
b you bmaintain bfor bthe bcompany. bIf ba bstudent bgroup—or bany bpersonnel baside bfrom bthe
company’s bpayroll bemployees band bofficers—wishes bto breview bconfidential brecords, byou bshould
b
deny btheir brequest. bIf bneeded, byou bshould brefer bthe bgroup bto byour bdepartment’s bmanager bto
b
discuss bthe bmatter bin bmore bdepth. bThe blaws bthat bapply bto bthis bsituation bare bthe bPrivacy bAct bof
b
1974, bU.S. bDepartment bof bHealth band bHuman bServices bPrivacy bAct b09-40-0006, bCommon-Law
b
Privacy bAct, bComputer bFraud band bAbuse bAct, band bpotentially bHIPAA.
b
Large bvs. bSmall
1. Large bcompanies bface bissues bwith bmultiple bdepartments, bemployee baccess bto
online bpersonnel bportals, bemployee bdata bsecurity, band btimekeeping baccuracy.
b
2. For bsmall bcompanies, bpayroll bprocessing bwill binvolve bfewer bemployees bthan bfor
blarger bcompanies. bSmaller bcompanies bcould bmaintain btheir bpayroll bneeds busing
bcompany bpersonnel bbecause bof bthe blower bvolume bof btransactions. bLarger bcompanies
bneed bto bconsider btheir bavailable btrained bpayroll baccountants band bother bstaff bto
determine bif bthey bcan breliably bhandle bthe bvolume bof bpayroll bneeds bin ba btimely band
b
baccurate bmanner.
What bIs bthe bDifference?
, SM b7-4
a. Manual bpayroll bsystems binvolve bthe buse bof bpaper band bpencil brecord-keeping bor ba
spreadsheet bprogram, bsuch bas bMicrosoft bExcel. bThis bis bmost bappropriate bfor bvery
b
small bfirms.
b
b. Computerized bpayroll bsystems bcan bbe bused bby bany bcompany, bregardless bof bsize.
Examples bof bcomputerized bsystems binclude bQuickBooks, bSage b100, band bMicrosoft
b
Dynamics b365 bGP. bThese bcomputer bpackages brange bin bprice, bdepending bon bthe
b
company bsize band boperational bscope.
b
c. Outsourced bpayroll binvolves bthe bengagement bof ba bthird bparty bto bmanage ba
company’s bpayroll bdata, bissue bemployee bcompensation, band bprepare btax bforms.
b
d. Certified bpayroll bpertains bto bcompanies bwith bemployees bwho bwork bon bfederal
government bcontracts. bCertified bpayroll bensures bthat ba bcompany breports bpayroll
b
expenditures bof bcontractually ballocated bmoney.
b
ANSWERS bTO bEND-OF-CHAPTER bMATERIALS
REVIEW bQUESTIONS
b
1. What bis bthe bpurpose bof ba bpayroll bsystem?
a. Provide bfor binternal band bexternal breporting bof bemployee bwages band bassociated
taxes, bpayment bof bemployee bcompensation, band bmonitoring bof bbenefits bto
b
employees. bIt balso bserves bas ba bmeans bof btracking blabor bcosts bthat bmanagers buse bfor
b
decision-making, bbudgeting, band bplanning.
b
2. What bare btwo bdifferences bbetween blarge- band bsmall-company bpayroll bpractices?
a. Small bcompanies bwould bhave bfewer bemployees band breporting brequirements band
would bbe bless blikely bto bbe brequired bto bhave bautomated bpayroll bsystems.
b
SOLUTIONS MANUAL:
PAYROLL ACCOUNTING 2024 LANDIN 34TH EDITION BY BERNARD J.
BIEG AND BRIDGET STOMBERG
Chapter 1-7
Chapter 1
Which Law?
1. K
2. H
3. B
4. F
5. I
6. J
7. A
8. D
9. G
10. C
, SM 7-2
11. E
12. L
Which Payroll Law?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s Ethical?
1. Answers will vary. Some concerns include data privacy and integrity in the software
switchover, tax and employee pay integrity on the new software, and employee pay methods.
, SM b7-3
Answers bwill bvary. bKarsyn bcould bchoose bto bignore bher bsorority bsister’s brequest, bclaiming
Confidentiality. bShe bcould balso bdiscontinue bactive bparticipation bin bthe bsorority. bIn bany bcase,
b
Karsyn bmust bnot bconsent bto bher bsorority bsister’s brequest bfor bconfidential binformation.
b
Confidential bRecords
As bthe bpayroll bclerk, byour btask bis bto bprotect bthe bprivacy band bconfidentiality bof bthe binformation
b you bmaintain bfor bthe bcompany. bIf ba bstudent bgroup—or bany bpersonnel baside bfrom bthe
company’s bpayroll bemployees band bofficers—wishes bto breview bconfidential brecords, byou bshould
b
deny btheir brequest. bIf bneeded, byou bshould brefer bthe bgroup bto byour bdepartment’s bmanager bto
b
discuss bthe bmatter bin bmore bdepth. bThe blaws bthat bapply bto bthis bsituation bare bthe bPrivacy bAct bof
b
1974, bU.S. bDepartment bof bHealth band bHuman bServices bPrivacy bAct b09-40-0006, bCommon-Law
b
Privacy bAct, bComputer bFraud band bAbuse bAct, band bpotentially bHIPAA.
b
Large bvs. bSmall
1. Large bcompanies bface bissues bwith bmultiple bdepartments, bemployee baccess bto
online bpersonnel bportals, bemployee bdata bsecurity, band btimekeeping baccuracy.
b
2. For bsmall bcompanies, bpayroll bprocessing bwill binvolve bfewer bemployees bthan bfor
blarger bcompanies. bSmaller bcompanies bcould bmaintain btheir bpayroll bneeds busing
bcompany bpersonnel bbecause bof bthe blower bvolume bof btransactions. bLarger bcompanies
bneed bto bconsider btheir bavailable btrained bpayroll baccountants band bother bstaff bto
determine bif bthey bcan breliably bhandle bthe bvolume bof bpayroll bneeds bin ba btimely band
b
baccurate bmanner.
What bIs bthe bDifference?
, SM b7-4
a. Manual bpayroll bsystems binvolve bthe buse bof bpaper band bpencil brecord-keeping bor ba
spreadsheet bprogram, bsuch bas bMicrosoft bExcel. bThis bis bmost bappropriate bfor bvery
b
small bfirms.
b
b. Computerized bpayroll bsystems bcan bbe bused bby bany bcompany, bregardless bof bsize.
Examples bof bcomputerized bsystems binclude bQuickBooks, bSage b100, band bMicrosoft
b
Dynamics b365 bGP. bThese bcomputer bpackages brange bin bprice, bdepending bon bthe
b
company bsize band boperational bscope.
b
c. Outsourced bpayroll binvolves bthe bengagement bof ba bthird bparty bto bmanage ba
company’s bpayroll bdata, bissue bemployee bcompensation, band bprepare btax bforms.
b
d. Certified bpayroll bpertains bto bcompanies bwith bemployees bwho bwork bon bfederal
government bcontracts. bCertified bpayroll bensures bthat ba bcompany breports bpayroll
b
expenditures bof bcontractually ballocated bmoney.
b
ANSWERS bTO bEND-OF-CHAPTER bMATERIALS
REVIEW bQUESTIONS
b
1. What bis bthe bpurpose bof ba bpayroll bsystem?
a. Provide bfor binternal band bexternal breporting bof bemployee bwages band bassociated
taxes, bpayment bof bemployee bcompensation, band bmonitoring bof bbenefits bto
b
employees. bIt balso bserves bas ba bmeans bof btracking blabor bcosts bthat bmanagers buse bfor
b
decision-making, bbudgeting, band bplanning.
b
2. What bare btwo bdifferences bbetween blarge- band bsmall-company bpayroll bpractices?
a. Small bcompanies bwould bhave bfewer bemployees band breporting brequirements band
would bbe bless blikely bto bbe brequired bto bhave bautomated bpayroll bsystems.
b
