What Is the Purpose of Federal Form 940

question 17

Multiple Choice

What is the purpose of Federal Form 940?

• A)Summarize the amount of unemployment tax paid and due by the company
• B)Summarize the amount of federal income tax,Social Security,and Medicare withheld from employee paychecks for the quarter
• C)Summarize the amount of federal income tax,Social Security,and Medicare withheld from employee paychecks for the year
• D)Summarize all your W-2 forms

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Definitions:

Inventory

Inventory consists of the goods and materials that a business holds for the purpose of resale or production.

Solvency Analysis

An evaluation of a company's ability to meet its long-term debts and financial obligations.

Dimensional Analysis

A mathematical technique used to convert one set of units to another, maintaining the same physical quantity.