23. Which of the following is only offered by QuickBooks' Full Service Payroll? a calculating FICA tax b. filing and remitting of taxes c. direct deposit d. calculating net pay 24. Which of the following statements about QuickBooks payroll services is not true? a Federal and state tax reporting information is prepared. b. Gross pay, withholdings, and deductions are calculated automatically. Direct deposit can be made to an employee's bank account. d. You must select a service before activating the payroll feature. 25. Whichever payroll service is chosen in QuickBooks, the user will have to a manually remit tax payments to the proper tax-collecting agencies. b. print paper payroll checks for employees. c. pay a monthly fee in addition to the QuickBooks subscription fee. d. prepare the state tax reporting information. 26. To set up payroll in QuickBooks, first a create the general ledger accounts Payroll Liabilities and Payroll Expenses. b. activate (enable) the payroll feature. c. do nothing as QuickBooks automatically set it up. d. select a QuickBooks desktop payroll service. 27. To activate the QuickBooks payroll feature, begin by clicking. on the Navigation bar. a. Employees b. Home c. Taxes d. Transactions 28. In the Pay employees in minutes window, you can select the features that are important to you, and QuickBooks will recommend a payroll service. Full Service Payroll will be recommended if you choose any of the following except a. Unlimited payroll runs. b. Experts handle setup. c. Taxes paid & filed for you. d. Penalty-free guarantee. 29. The window is where you select your QuickBooks Payroll Service. a. Taxes preferences b. Pay employees in minutes c. Accounting preferences d. Account When the payroll feature is activated, Page 5 of 11 A QuickBooks automatically creates two default general ledger accounts: Payroll Payable and Payroll Expenses the company file is ready for payroll transactions to be recorded QuickBooks automatically creates the complete Payroll Settings d. QuickBooks automatically creates all of the payroll accounts necessary. 31. To display the Payroll Tax Center window, click a. Employees b. Taxes e. Home d. Transactions 32. Payroll management reports on the Navigation bar and then click Payroll Tax. a. are required by law and therefore are forwarded to a government agency. b. can only be viewed from the Manage Payroll submenu of the Reports window. provide the company with valuable information concerning payroll costs, such as gross pay, payroll liabilities and withholding, and employer payroll taxes. d. cannot be used to complete government-mandated payroll reports at the state or local level. 33. Which report lists the earnings, deductions, and employer payroll taxes for each employee for a specified period of time? a. Payroll Details Report b. Payroll Summary Report c. Payroll Tax Liability Report d. Employee State Taxes Detail Report 34. Which report provides detailed information for each payroll transaction (paychecks and payroll liability payments) recorded during the period? a. Payroll Tax Liability Report b. Payroll Summary Report c. Employee State Taxes Detail Report d. Payroll Details Report 35. Which payroll reporting feature is available only with a subscription to a QuickBooks payroll service? a. payroll liabilities balances b. all payroll government compliance reports c. federal compliance reports d. payroll summaries 36. What is the quarterly payroll report forwarded to the Internal Revenue Service? a. Form 941 b. Form W-2 c. Payroll Summary Report d. Form 1099 Form 941-Employer's Quarterly Federal Tax Return does not summarize Page 6 of 11 a total wages paid to all employees for the quarter. b. federal tax withheld. employer's and employee's Social Security and Medicare tax liabilities. d. employee state taxes. 3 is the Employer's Annual Federal Unemployment (FUTA) Tax Return that is filed annually with the Internal Revenue Service? a. Form 940 b. Payroll Liabilities Balances report c. Form W-2 d. Form FUTA 39. Which form is prepared annually and furnished to each employee? a. Form 940 b. Form W-2 c. Payroll Summary Report d. Form 941 40. Which statement is false? a The Wage and Tax Statement (Form W-2) is prepared with each paycheck. b. The Wage and Tax Statement (Form W-2) is used by the employee to complete his or her personal income tax return. c. The Wage and Tax Statement (Form W-2) totals the employee's earnings and tax withholding for the year. d. A copy of the Wage and Tax Statement (Form W-2) is forwarded to the federal government to be reconciled with the quarterly Form 941 filings. 41. Hours worked by company personnel that can be charged to a customer are referred to as a. external hours. b. billable c. project d. internal 42. In QuickBooks, where do you record the time spent by company personnel? a. the Customer List b. the Invoice window c. the Vendor List d. the Weekly Timesheet window 43. In QuickBooks, the time-tracking feature is a. a free add-on that can be downloaded and installed. b. integrated into the software. c.. a separate product that must be purchased. d. handled by a separate application and is imported into QuickBooks. Page 7 of 11 44. The information entered in the Weekly Timesheet window is carried to the are created a levoice window Run Payroll window Sales Receipts window d Products and Services List when employee checks 45. Customers are billed for billable employee hours via the Invoice or. a Payroll windows. b c. Products and Services d. Sales Receipts 46. The QuickBooks window in which timesheet activity is entered is set up for the entry and display of hours on a a quarterly basis. b. monthly c. yearly d. weekly 47. As discussed in Chapter 11, the information entered into the Weekly Timesheet window is used 10 complete fields in each of the following windows except the a. Run Payroll b. Bill e. Sales Receipts d. Invoice window. 48. In an ideal situation, the data in the Weekly Timesheet window would be entered a. monthly. b. weekly. c. daily. d. right before invoices are generated. 49. The Weekly Timesheet window allows you to select each of the following except the a type of service to be invoiced. b. name of the employee doing the work. c. daily hours spent for each customer. d. rate of pay for each employee. 50. This checkbox appears in the Weekly Timesheet window and allows you charge a customer for the employee's hours. a. Billable b. Charge c. Internal d. Invoice Page 8 of 11