Questions: PF2

1 - Fleetway Transport is an Accelerated threshold 1 remitter. The statutory deductions withheld from the three bi-weekly payrolls in August are as follows: On the August 3 pay, the employees' Canada Pension Plan contributions were $3,658.20, their Employment Insurance premiums were $1,295.40, their federal income tax withholding was $13,157.33 and their provincial income taX (non-Quebec) withholding was $6,054.65. On the August 17 pay, the employees' Canada Pension Plan contributions were $4,558.20, their Employment Insurance premiums were $2,275.40, their federal income taX withholding was $14,157.33 and their provincial income tax (non-Quebec) withholding was $7,854.65. On the August 31 pay, the employees' Canada Pension Plan contributions were $3,558.20, their Employment Insurance premiums were $1,275.40, their federal income taX withholding was $12,157.33 and their provincial income taX (non-Quebec) withholding was $6,854.65. The employer does not have a reduced Employment Insurance premium rate. Calculate the total amount to be remitted to the Canada Revenue Agency on September 10. 2 - Statutory deductions are held in trust by a business, except if it is: 0 an estate in liquidation o in bankruptcy o in receivership 0 none of the above 3- Lori contributes 2% of her annual eamings of $38,900.00 to her defined contribution pension plan. Her employer matches her contributions. Calculate Lori's pension adjustment. 4 - Adjustments made to employee year-todate earnings should be: 0 recorded when a Pensionable and Insurable Earnings Review is requested 0 accumulated and adjusted with semi-annual reconciliation o accumulated and adjusted at year-end 0 recorded as the adjustments occur 5 - Employers are classified as regular remitters when their average monthly withholding amount for the second preceding calendar year is: less than $3,000.00 between $3,000.00 and $24,999.99 between $25,000.00 and $99,999.99 0 $100,000.00 or more 6- Ophelia works in Quebec and her 2019 payroll totals are regular earnings of $78,800.00, regular commission payments of $41,900.00, employer-provided automobile taxable benefit of $6,818.00, employer-paid medical and dental benefits of $812.00, and employee contributions to a Registered Retirement Savings Plan of $2,980.00. Calculate the total to be recorded in Box 14 of Ophelia's T4 information slip. 7 - Preet works in Ontario and her 2019 payroll totals are regular earnings of $41,300.00, regular commission payments of $9,400.00, employer-provided automobile taxable benefit of $3,418.00, employer-paid medical and dental benefits of $648.00, and employee contributions to a Registered Retirement Savings Plan of $1,266.00. Calculate the total to be recorded in Box 14 of Preet's T4 information slip. 8 - Which of the following expenses of an organization is generally accounted for on a continuous accrual basis? Employer contributions to employees' Registered Retirement Savings Plans Group term life insurance premiums Vacation pay Employer contributions to a defined benefit pension plan 9 - An organization's source deductions remittance frequency depends on the amount of the average monthly withholding amount for: current year the second preceding calendar year the previous calendar year the third preceding calendar year 10 - Which of the following situations would require that a T4A be issued? An employee received vacation pay of $1,600.00 on termination 0 An employee received wages in lieu of notice of $2,500.00 0 An employee received $35,000.00 in retroactive pay 0 A former employee's group term life was provided by the employer with a taxable benefit of $450.00 11 - An accelerated threshold 1 remitter has a weekly payroll with total statutory deductions (including employer contributions) each pay period of $7,135.00. Their pay dates in the current month were on Friday the lst, 8th, 15th, 22nd and 29th. Calculate the amount of the remittance due on the 25th of the current month. 12 - Anjani works in Manitoba and her 2019 payroll totals are regular earnings of $55,000.00, regular commission payments of $12,000.00, employer-provided automobile taxable benefit of $4,294.00 and employer-paid medical and dental benefits of $5,212.00. What amount would be reported using Code 40 in the Other Information area of Anjani's T4 information slip? 0 Automobile taxable benefit of $4,294.00 and employer-paid medical and dental benefits of $5,212.00. 0 What amount would be reported using Code 40 in the Other Information area of Anjani's T4 information slip? o $4,294.00 o $5,212.00 0 $9,506.00 0 No amount required 13 - Isabel has a defined benefit pension plan based on final average earnings with her employer. She has a pension benefit of 2% of her final earnings and $43,800.00 of pensionable earnings for this year. Calculate her pension adjustment for 2020. 14 - When the remittance date falls on a weekend or statutory holiday, an employer should ensure that the Canada Revenue Agency is in receipt of the funds: 0 there are no restrictions 0 by the previous business date 0 by the next business date 0 which are postmarked on the weekend or statutory holiday 15 - Alpha Computing Inc. operates from Monday to Friday and pays its employees bil -weeklly. On April 27 employees are paid for the two weeks ending April 27, while on May 11 they are paid for the two weeks ending May 11. Alpha Computing's salary and wages expense for the April 27 pay was $97,500.00. The accounting month-end for April is April 30. How much will Alpha Computing Inc. accrue for salaries and wages for the pay period ending May 11 in the April accounting period in order to accurately reect these costs for the month. (Note: The current year calendar provided in the course should be used). 16 - When are voluntary deductions withheld from an employee's pay? At the same time as statutory and legal deductions Before statutory and legal deductions After statutory and legal deductions Voluntary deductions are never withheld from an employee's pay 17 - A garnishment issued by the federal governmell is subject to: no grace period and payments are due on receipt or as payments to employees come due no grace period and payments are due within 10 days of making a deduction from the employee no grace period and payments are due within 15 days of making a deduction from the employee no grace period and payments are due within 15 days of service or when payment to employee comes due 18 - After reconciling the payroll accounts for the month of June, you noticed you have made an error and overpaid the amount owl ing to the Canada Revenue Agency for source deductions. How should there is calculation error be corrected? Wait for Canada Revenue Agency to advise that there is a discrepancy Request a refund Reconcile the payment at year-end Deduct the overpayment from the next remittance 19 - Reese works in Prince Edward Island and has 2019 payroll totals of regular earnings of $62,700.00, vacation pay $$2,680.00, overtime pay of $518.00, interest-free loan taxable benefit of $780.00, group term life insurance taxable benefit of $3 1 4.00, pension adjustment of $2,880.00 and employee contributions to a Registered Retirement Savings Plan of $1,890.00. Calculate the total to be recorded in Box 14 of Reese's T 4 information slip. 20 An employer in Manitoba has a monthly group life insurance premlium of $2, 1180.00, excluding taxes. Calculate the payment to be remitted to the benefit carrier. 21 - Stacey works in British Columbia and has 2019 payroll totals of regular earnings of $34,600.00, vacation pay of $1,250.00, overtime pay of $675.00, interest-free loan taxablle benefit of $2,350.00, group term life insurance taxable benefit of $182.00, pension adjustment of $11,215.00 and employee contributions to a Registered Retirement Savings Plan of $1,378.20. Enter the amount to be recorded in the Other information area using Code 40 on Stacey's T4 information slip. 22 - Given . the following information from the payroll register, calculate the net pay and prepare a journal entry for the month of February for Northern Publishers. Salaries and wages $316,458.52 Bonus $10,538.43 Canada Pensil on Plan contributions $15,087.1 4 Employment Insurance premiums $6,147.54 Income tax $65,399.39 Registered Retirement Savings Plan contributions | $9,493.76 Union dues $1,995.00 Charitable donations $1,.225.00 Journal Entry #12345 Date Account name Debit Credit Feb. 28 Total 23 - Which type of account shows the owners' or shareholders' worth or interest in the organization? . Equity . Asset . Liability . Revenue 24 - Which of the following dates will determine the proper remittance date? . The payroll processing date . The pay period end date . The date the statement of wages is delivered to employeeso The payroll cheque date 25 - The Canada Revenue Agency requires mandatory electronic filing when employers le a total of more than: 0 25 of each type of information slips 0 25 various in information slips 0 50 of each type of information slips 0 50 various information slips 26 - In which province is tile group benefits premium subject to the Retail Sales Tax? 0 Manitoba 0 Nova Scotia 0 Northwest Territories 0 British Columbia 27 - The salaries and wages incurred, for employees who actually perform the work or provide the service or sell goods, are referred to as: 0 direct labour costs 0 indirect labour costs 0 employee benefits expenses 0 commission expenses 28 - Which of the following items appear on a Balance Sheet? 0 Net Profit 0 Expenses 0 Revenue 0 Liabilities 29 - If the administration of the pension plan contribution remittance is outsourced to a third-party plan administrator, who is responsible for making sure the remittance deadlines are being met under the requirements of the legislation in each plan member's jurisdiction? 0 The employer 0 The provincial, government The payroll service provider The plan administrator 30 - The source deductions relating to an employee's taxable benefits are calculated and remitted: quarterly when the Canada Revenue Agency accounts are reconciled at year-end when the Canada Revenue Agency accounts are reconciled when a Pensionable and insurable Earnings Review is conducted on a pay period basis 31 - Which financial statement is used to reect revenue, expenses and net profit or loss of an organization during a specified period of time? General Ledger Income Statement Shareholders' Equity Statement Balance Sheet 32 - Marie-Claire has semi-monthly Vacationable ealrnings of :$2,150.00 and her vacation pay rate is 6%. What amount will be recorded to vacation pay expense for the month of March? A debit of $129.00 A credit of $129.00 A debit of $258.00 A credit of$258.00 33 - The Canada Revenue Agency requires mandatory electronic filing when employers file a total of more than: 25 of each type of information slips 25 various information slips 50 of each type of information slips 50 various information slips 34 - In which province is tile group benefits premium subject to the Retail Sales Tax? Manitoba Nova Scotia Northwest Territories British Columbia 35 - The salaries and wages incurred for employees who actually perform the work or provide the service or sell goods, are referred to as: direct labour costs indirect labour costs employee benefits expenses commission expenses 36 - Which of the following items appears on a Balance Sheet? Net Profit Expenses Revenue Liabilities 37 - If the administration of the pension plan contribution remittance is outsourced to a third-party plan administrator, who is responsible for making sure the remittance deadlines are being met under the requirements of the legislation in each plan member's jurisdiction? The employer The provincial, government The payroll service provider The plan administrator 38 - Which -financial statement is used to reect revenue, expenses and net profit or loss of an organization during a specified period of time? 0 General Ledger 0 Income Statement 0 Shareholders\" Equity Statement 0 Balance Sheet Marie-Cllaire has semi-monthly Vacationable ealrnings of $2,l S000 and her vacation pay rate is 6%. What amount Will be recorded to vacation pay expense for the month of March? 0 A debit of $129.00 0 A credit of $129.00 0 A debit of $258.00 0 A credit of $258.00