Proper Payroll Accounting Methods Are Important for a Business for All

question 186

Multiple Choice

Proper payroll accounting methods are important for a business for all of the following reasons except

• A) good employee morale requires timely and accurate payroll payments
• B) payroll is subject to various federal and state regulations
• C) to help a business with cash flow problems by delayed payments of payroll taxes to federal and state agencies
• D) payroll and related payroll taxes have a significant effect on the net income of most businesses

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Definitions:

Quo Warranto

A legal proceeding used to challenge an individual's right to hold a public or corporate office.

De Facto Corporation

A corporation in existence by operations and public dealings, despite not completing the formal requirements.

Corporate Entity

A legal entity that is separate and distinct from its owners, which can own assets, incur liabilities, and conduct business.

Debt Securities

Financial instruments representing money borrowed that must be repaid, with terms that define the amount, interest rate, and maturity date.