Question 1. Which is a common way of describing net income? (1 point)

Question

Question 1. Which is a common way of describing net income? (1 point)

A. paystub

B. take-home pay

C. salary

D. wages

Question 2. Which defines a W-4? (1 point)

A. a special kind of deduction

B.an IRS form used to determine how much federal tax to withhold

C. a form created by employers to determine tax rate

D. a form of tax credit for individuals with children

Question 3.Which describes an individual's net income? (1 point)

A. all salaries

B. all wages, salaries, and other earnings

C. all wages and other earnings minus FICA

D. all wages minus all taxes and deductions

Question 4.Which are voluntary deductions? Select the two correct answers. (1 point)

A.FICA

B.retirement plan contribution

C.delinquent child support

D.health insurance

E.Social Security

Question 5.Which describes gross income? (1 point)

A. all wages, payments, and other earnings

B. all wages minus voluntary deductions

C.all wages and other earnings minus FICA

D. all wages minus involuntary deductions

Answer 1

Question 1. B. take-home pay

Question 2. B. an IRS form used to determine how much federal tax to withhold

Question 3. B. all wages, salaries, and other earnings

Question 4. B. retirement plan contribution and D. health insurance

Question 5. A. all wages, payments, and other earnings

Answer 2

Question 1: The common way of describing net income is:

B. take-home pay

Question 2: A W-4 is defined as:

B. an IRS form used to determine how much federal tax to withhold

Question 3: An individual's net income is described as:

B. all wages, salaries, and other earnings

Question 4: The voluntary deductions are:

B. retirement plan contribution and D. health insurance

Question 5: Gross income is described as:

A. all wages, payments, and other earnings

Answer 3

Question 1. The common way of describing net income is typically referred to as "take-home pay" or option B. To arrive at net income, you would subtract any taxes and deductions from the total earnings or gross income.

Question 2. The correct answer is B. A W-4 is an IRS form used to determine how much federal tax should be withheld from an individual's paycheck. It helps employers establish the correct amount of tax to deduct based on the employee's filing status, dependents, and other relevant factors.

Question 3. The correct answer is D. Net income refers to all wages minus all taxes and deductions. It represents an individual's earnings after all applicable taxes (such as federal, state, and local income taxes) and deductions (such as retirement contributions and health insurance premiums) have been subtracted.

Question 4. The correct answers for voluntary deductions are B. retirement plan contributions and D. health insurance. Voluntary deductions are items that employees choose to have deducted from their paycheck, such as contributions to retirement plans or premiums for health insurance coverage.

Question 5. The correct answer is A. Gross income refers to all wages, payments, and other earnings before any deductions are made. It represents an individual's total income before taxes and other deductions.