Bob has chosen to be exempt from federal withholding on his W-4.

He should only file as exempt for the tax year if which 2 statements are true?

• He owed no federal income taxes in the previous year
• He expects to receive a federal refund for the current year
• He owed no federal and state income taxes in the previous year
• He expects to owe no federal income taxes for the current year
• He expects to receive a federal and state refund for the current year

You need to record payroll that came from an outside payroll service.

What are 2 options for recording payroll?

• Record each paycheck with the detail of the employee benefits
• Record the net pay and employee withholdings posting to wages
• Record a lump sum of net pay and employer taxes posting to wages
• Record net pay posting to wages and employer taxes to tax expense accounts
• Record each paycheck with the detail of gross wages and employee withholdings