Employees Claim Withholding Allowances on Form W-4

question 31

Multiple Choice

Employees claim withholding allowances on Form W-4.For each withholding allowance claimed,their withholding base is reduced by what amount for calendar year 2014?

• A) $3,800.
• B) $3,850.
• C) $3,900.
• D) $3,950.

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Definitions:

Services

Activities or benefits provided by one party to another, often as a component of economic transactions where physical goods are not exchanged.

Revenue

Income generated from normal business operations, often from the sale of goods and services to customers.

Credit Customer

A customer who purchases goods or services on credit, agreeing to pay at a later specified date.

Expense

Money spent or cost incurred in an entity's efforts to generate revenue.