BM Final Exam Review Sheet #2

If an employee is paid semimonthly, how many paychecks do they receive in a year?

• 24

• 26

• 12

• 52

If the annual cost of health insurance is $3,900 and an employee is paid semi-monthly (24 pay periods), what is the per-paycheck deduction?

• $185.50

• $162.50

• $175.25

• $162.75

What is the difference between fixed and variable expenses?

• Fixed expenses occur yearly while variable expenses occur monthly

• Fixed expenses remain constant while variable expenses change

• Fixed expenses are optional while variable expenses are required

• Fixed expenses are higher than variable expenses

If Social Security tax is 6.2% of gross wages, how much is withheld from a $2,500 paycheck?

• $155

• $165

• $160

• $145

How do you convert an hourly wage to an annual salary? (Assuming 40-hour weeks)

• Hourly rate × 40 × 12

• Hourly rate × 52 × 12

• Hourly rate × 40 × 4

• Hourly rate × 40 × 52

Which of these is considered a personal exemption on tax forms?

• Car payment

• Grocery expenses

• Dependent children

• Utility bills

If a bank charges a $12 monthly service fee, what is the annual cost?

• $132

• $156

• $124

• $144

What is the proper way to write $1,234.56 in words on a check?

• Twelve hundred thirty-four and 56/100

• One thousand, two hundred, thirty-four and fifty-six cents

• One thousand two hundred thirty-four and 56/100

• One thousand two hundred and thirty-four dollars and fifty-six cents

A checking account has a beginning balance of $856.23. If deposits of $425.67 and $238.90 are made, and withdrawals of $165.45 and $322.80 are processed, what is the final balance?

• $1,032.55

• $1,033.55

• $1,034.55

• $1,035.55

If you earn time-and-a-half for overtime, what is the overtime rate for a $20 regular hourly wage?

• $35

• $30

• $25

• $40