Free Certified Payroll Professional Exam CPP-Remote Exam Practice Test

Which of the following elements is essential to a disaster recovery plan?

• an excess supply of checks and direct deposit stubs
• a compatible off-site remote location to produce payrolls
• detailed documentation of current company policies
• a procedure for limiting security system access

ER-sponsored athletic facilities may be nontaxable fringe benefits if the:

• ER requires substantiation of the amount, time, and business purpose of the facilities' use
• ER incurs no substantial additional cost, except labor, to provide the facilities
• facilities are on the ER's premises
• facilities qualify as a de minimis fringe

A local national is defined as an EE:

• from another country working in the US
• from the US working in a foreign country
• from a foreign company working in the US
• from a foreign country working in his or her home country location

The proper handling of a stop payment includes all of the following steps EXCEPT:

• reversing the direct deposit
• canceling the payment in the payroll system
• notifying the bank account reconciliation EEs
• documenting the reason for the transaction

The Family and Medical Leave Act requires ERs to maintain records for at least:

• 12 weeks
• 1 year
• 2 years
• 3 years

What does it mean if, at the end of an accounting period, a company has a debit balance in a liability account?

• The company has underdeposited taxes withheld from EE wages.
• The company has not yet paid the third party.
• The company has withheld too much from the EE.
• The company has paid to a third party more than was withheld from the EE.

A payroll department manager should assure:

• an independent mission statement
• appropriate training and equipment resources for staff members
• immediate enactment of EE suggestions
• top payment of staff

ERs in non-credit reduction states that pay their state unemployment taxes on time can deduct up to what percentage from the full FUTA tax rate in calculating their FUTA tax payments?

• 0.6%
• 4.5%
• 5.4%
• 6.0%

All of the following steps are required when initiating direct deposit for an EE EXCEPT:

• prenoting
• receiving financial institution routing number
• getting authorization from the EE
• receiving EE's bank account number

Upward communication involves:

• dissemination of management decisions to the staff
• interactions between you and your manager
• passing information to management
• conducting quality circle meetings