Session 8 Poll Questions Flashcards
(9 cards)
What is considered more accurate, cash based accounting or accrual based accounting?
Accrual Based
Which financial statement is considered the most important for small business?
a. Cash Flow Statement
b. Balance Sheet
c. Profit and Loss Statement
c. Profit and Loss Statement
Is staff payroll considered a fixed or variable expense?
Variable
The Federal Insurance Contribution Act (FICA) is a payroll tax that is paid by the employer or employee or both?
Both
Which payroll tax is paid by employers only and only on the first $7,000 of Ann employee’s earnings?
a. State Unemployment Tax Act (SUTA)
b. Federal Unemployment Tax Act (FUTA)
c. Workers Compensation Tax
b. Federal Unemployment Tax Act (FUTA)
What is an Employer Identification Number (EIN)?
a. It is a number assigned by the Federal Trade Commission in order for the IRS to track revenue earned and taxed paid on that revenue.
b. It is a business ID number assigned by the IRS to identify tax accounts of employers.
c. It is a federally required identification number assigned by the IRS for purposes of tracking the federal taxes on business earnings.
b. It is a business identification number assigned by the IRS to identify tax accounts of employers.
AR that are over ______% need intervention to get the entire team to follow an AR policy.
a. 2%
b. 3%
c. 4%
d. 5%
b. 3%
Which Act prohibits placing “delinquent account” stickers on the outside of an envelope when mailing statements to clients?
a. The Fair Debt Collections Practices Act
b. The Consumer Protection Act
c. The Consumer Confidentiality Act
a. The Fair Debt Collections Practices Act
What does the accounts receivable turnover calculation tell us (Multiple Choice)?
a. The fiscal health of the practice as it relates to AR as a percentage of gross revenue.
b. How many t times the AR balance is converted into cash.
c. The ratio shows how efficient a company is at collecting its credit sales from customers.
B & C
