Which of the Following Would Constitute an Employer-Employee Relationship

question 59

Multiple Choice

Which of the following would constitute an employer-employee relationship?

• A) A plumber who comes to your home to fix a leaking faucet.
• B) A CPA who prepares a client's tax return.
• C) A physician who hires a nurse to help her with patient screening and preliminary tests in the office.
• D) A gardener who takes care of individual lawns for a monthly fee.
• E) None of the above would constitute an employer-employee relationship.

---

Definitions:

Account

A record in financial accounting that tracks the increase and decrease of financial values, such as assets, liabilities, revenues, and expenses.

Revenues

The total income generated from normal business operations and before any expenses are subtracted.

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities. It represents ownership interest.

Statement

A document that presents an account of particular facts or events in detail.