Describe the Two Main Ways to Demonstrate a Test's Validity

question 106

Essay

Describe the two main ways to demonstrate a test's validity in employment testing. What third method is rarely used?

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Definitions:

Self-employment Tax

A levy aimed at self-employed individuals, designed to contribute towards Social Security and Medicare.

AGI Deduction

Deductions from Adjusted Gross Income (AGI), which lower the AGI and reduce taxable income, potentially qualifying taxpayers for various tax benefits based on their adjusted income levels.

Qualified Education Expenses

Expenditures for tuition and related educational costs that are necessary for enrollment at an eligible educational institution.

Student Loan Interest

The interest paid on a loan taken out to fund educational expenses, potentially deductible under certain conditions from your taxable income.