As an Agency Under Direction of the Congress, the Congressional

question 57

Multiple Choice

As an agency under direction of the Congress, the Congressional Budget Office (CBO) makes budget recommendations to Congress. What is the other primary purpose of the CBO?

• A) It recommends salaries for legislators.
• B) It presents a completed budget to the president each year for his/her approval.
• C) It conducts research, such as program effectiveness studies, at the direction of Congress.
• D) It serves as the treasury for the Congress.
• E) It functions as a bank within the capitol building.

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Definitions:

Take-Home Pay

The amount of income left after deductions like taxes and social security contributions are subtracted from the gross salary.

Federal Income Tax

The tax levied by the U.S. government on the annual earnings of individuals, corporations, trusts, and other legal entities.

Allowances

Reductions from the gross amount due to defects or allowances for customer discounts, contributing to the net sales figure.

W-4 Form

A tax form used by employees to indicate their tax situation to their employer, such as number of dependents and marital status, affecting the amount of federal income tax withheld from their pay.