The Payroll Tax Which Is Paid by Both the Employee

question 27

Multiple Choice

The payroll tax which is paid by both the employee and the employer is:

• A)FICA
• B)FUTA
• C)SUTA
• D)Federal Income Taxes

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Definitions:

Asset Disposal

The process of selling, donating, scrapping, or otherwise getting rid of an asset that a business no longer intends to use.

Gain

An increase in equity from incidental transactions and other events affecting the entity during a period, except those that result from revenues or investments by owners.

Loss

Refers to when a company's expenditures exceed its revenues during a specific period of time, resulting in a negative profit.

Revenue Expenditures

Operating expenses that are fully expensed in the accounting period when incurred and primarily related to the maintenance and repair of assets.