Net Pay Is the Same As

question 71

Multiple Choice

Net pay is the same as:

• A) gross pay.
• B) take-home pay.
• C) before taxes pay.
• D) pay before deductions.

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Definitions:

Accounts Payable

Liabilities of a company that represent amounts owed to creditors for goods and services received but not yet paid for.

Journal Entry

A record in the books of account that represents a financial transaction.

Payroll Taxes Expense

Taxes that employers are required to pay based on the wages and salaries of their employees, such as Social Security and Medicare taxes.

FICA Tax

A U.S. federal payroll tax used to fund Social Security and Medicare, distributed between employees and employers.