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NEW QUESTION 27
How may federal income tax be withheld from separation pay and accrued vacation wages totaling $20,000 that are paid at the time of termination and identified separately on the employees' pay stub, if the employee has been paid $25,000 so far this year and had income tax withheld from her most recent wage payment?

  • A. using the prior 12 months' tax rate
  • B. at the optional flat rate or using the aggregate method
  • C. using the aggregated method only
  • D. at the optional flat rate for all payouts at termination only

Answer: B

 

NEW QUESTION 28
If an employee fails to furnish the employer with a Form W-4, the employer is required to withhold federal income tax at the rate of:

  • A. Married and 0 allowances
  • B. Single and 0 allowances
  • C. Married and 2 allowances
  • D. Single and 1 allowance

Answer: B

 

NEW QUESTION 29
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. ongoing
  • B. compliance
  • C. parallel
  • D. back-up

Answer: C

 

NEW QUESTION 30
......

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