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:

Creditors' Meeting

A gathering during bankruptcy proceedings where creditors can question the debtor under oath regarding their finances and the bankruptcy petition.

Liquidation Schedule

A plan or timetable for selling off assets, typically used in the context of dissolving a business or paying off debt.

Bankruptcy Estate

All legal and equitable interests of the debtor in property at the time of the bankruptcy filing, as defined by bankruptcy law.

Prepetition Assets

Assets that a debtor possesses before filing for bankruptcy protection, which are generally subject to evaluation and potentially used to satisfy creditor claims in the bankruptcy process.