Banking and Practice Finances

The Reconciliation of the Bank Statement is a process of comparing date on a bank statement with records maintained in the medical office

• TRUE

• FALSE

The benefits of using an outsourced payroll company include all of the following except:

• Maintains up-to-date knowledge of payroll tax regulations

  
  

• Provides counseling of investments and taxes to employees

• Ensure accurate reporting

All year-end tax reporting forms for the preceding calendar year must be delivered to the employees by

• January 31

• April 15

• December 31

• January 1

The Government can hold an employee responsible for any amount of money that was deducted from their paycheck for taxes but not submitted to the IRS by the employer.

• TRUE

• FALSE

Which of the following is a regulation governed by The Fair Labor Standards Act (FLSA) ?

• Non-Exempt employees must be paid overtime (1.5x normal rate) for working more than 40 hours in one week

• Salaried employees are paid per the hours they have worked in any given pay period

• All employees must be paid double time for working on a federal holiday

• Pay period must be calculated as Sunday through Saturday of each week

The W-4 form is used by an employee to provide a calculated estimate of payroll taxes they will owe in the coming year

• TRUE

• FALSE

If there is a major error on a check, draw a line through it and write ________ in ink in large letters on the face of the check.

• DO NOT CASH

• VOID

• INVALID

• CANCELED

A medical office's monthly expenses may include

• medical supplies

• laundry

• waste removal

• all of the above

Business expenses are subject to auditing by the

• FBI

• local police

• IRS

• ethics council

Money is withheld from an employee's paycheck depending on the taxes that must be paid by the employee and employer. This is referred to as

• tax requirements

• tax standards

• tax credits

• tax withholding