SM 7-1
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-2
SOLUTIONS jMANUAL:
Payroll jAccounting j2024 jLandin j34th jEdition jby jBernard jJ. jBieg jand jBridget
j Stomberg
Chapter j1-7
Chapter j1
Which jLaw?
1. j j K
2. j j H
3. j j B
4. j j F
5. j j I
6. j j J
7. j j A
8. j j D
9. j j G
10. jC
11. jE
12. jL
Which jPayroll jLaw?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s jEthical?
1. Answers jwill jvary. jSome jconcerns jinclude jdata jprivacy jand jintegrity jin jthe jsoftware
jswitchover, jtax jand jemployee jpay jintegrity jon jthe jnew jsoftware, jand jemployee jpay
jmethods.
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-3
2. Answers jwill jvary. jKarsyn jcould jchoose jto jignore jher jsorority jsister’s jrequest,
jclaiming jConfidentiality. jShe jcould jalso jdiscontinue jactive jparticipation jin jthe jsorority.
jIn jany jcase, jKarsyn jmust jnot jconsent jto jher jsorority jsister’s jrequest jfor jconfidential
jinformation.
Confidential jRecords
As jthe jpayroll jclerk, jyour jtask jis jto jprotect jthe jprivacy jand jconfidentiality jof jthe jinformation
jyou jmaintain jfor jthe jcompany. jIf ja jstudent jgroup—or jany jpersonnel jaside jfrom jthe
jcompany’s jpayroll jemployees jand jofficers—wishes jto jreview jconfidential jrecords, jyou
jshould jdeny jtheir jrequest. jIf jneeded, jyou jshould jrefer jthe jgroup jto jyour jdepartment’s
jmanager jto jdiscuss jthe jmatter jin jmore jdepth. jThe jlaws jthat japply jto jthis jsituation jare jthe
jPrivacy jAct jof j1974, jU.S. jDepartment jof jHealth jand jHuman jServices jPrivacy jAct j09-40-
0006, jCommon-Law jPrivacy jAct, jComputer jFraud jand jAbuse jAct, jand jpotentially jHIPAA.
Large jvs. jSmall
1. Large jcompanies jface jissues jwith jmultiple jdepartments, jemployee jaccess jto
jonline jpersonnel jportals, jemployee jdata jsecurity, jand jtimekeeping jaccuracy.
2. For jsmall jcompanies, jpayroll jprocessing jwill jinvolve jfewer jemployees jthan jfor
jlarger jcompanies. jSmaller jcompanies jcould jmaintain jtheir jpayroll jneeds jusing
jcompany jpersonnel jbecause jof jthe jlower jvolume jof jtransactions. jLarger
jcompanies jneed jto jconsider jtheir javailable jtrained jpayroll jaccountants jand jother
jstaff jto jdetermine jif jthey jcan jreliably jhandle jthe jvolume jof jpayroll jneeds jin ja
jtimely jand jaccurate jmanner.
What jIs jthe jDifference?
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-4
a. Manual jpayroll jsystems jinvolve jthe juse jof jpaper jand jpencil jrecord-keeping jor ja
jspreadsheet jprogram, jsuch jas jMicrosoft jExcel. jThis jis jmost jappropriate jfor jvery
jsmall jfirms.
b. Computerized jpayroll jsystems jcan jbe jused jby jany jcompany, jregardless jof jsize.
jExamples jof jcomputerized jsystems jinclude jQuickBooks, jSage j100, jand jMicrosoft
jDynamics j365 jGP. jThese jcomputer jpackages jrange jin jprice, jdepending jon jthe
jcompany jsize jand joperational jscope.
c. Outsourced jpayroll jinvolves jthe jengagement jof ja jthird jparty jto jmanage ja
jcompany’s jpayroll jdata, jissue jemployee jcompensation, jand jprepare jtax jforms.
d. Certified jpayroll jpertains jto jcompanies jwith jemployees jwho jwork jon jfederal
jgovernment jcontracts. jCertified jpayroll jensures jthat ja jcompany jreports jpayroll
jexpenditures jof jcontractually jallocated jmoney.
ANSWERS jTO jEND-OF-CHAPTER
jMATERIALS jREVIEW jQUESTIONS
1. What jis jthe jpurpose jof ja jpayroll jsystem?
a. Provide jfor jinternal jand jexternal jreporting jof jemployee jwages jand jassociated
jtaxes, jpayment jof jemployee jcompensation, jand jmonitoring jof jbenefits jto
jemployees. jIt jalso jserves jas ja jmeans jof jtracking jlabor jcosts jthat jmanagers juse jfor
jdecision-making, jbudgeting, jand jplanning.
2. What jare jtwo jdifferences jbetween jlarge- jand jsmall-company jpayroll jpractices?
a. Small jcompanies jwould jhave jfewer jemployees jand jreporting jrequirements jand
jwould jbe jless jlikely jto jbe jrequired jto jhave jautomated jpayroll jsystems.
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-2
SOLUTIONS jMANUAL:
Payroll jAccounting j2024 jLandin j34th jEdition jby jBernard jJ. jBieg jand jBridget
j Stomberg
Chapter j1-7
Chapter j1
Which jLaw?
1. j j K
2. j j H
3. j j B
4. j j F
5. j j I
6. j j J
7. j j A
8. j j D
9. j j G
10. jC
11. jE
12. jL
Which jPayroll jLaw?
1. D
2. A
3. F
4. C
5. G
6. J
7. B
8. I
9. E
10. H
What’s jEthical?
1. Answers jwill jvary. jSome jconcerns jinclude jdata jprivacy jand jintegrity jin jthe jsoftware
jswitchover, jtax jand jemployee jpay jintegrity jon jthe jnew jsoftware, jand jemployee jpay
jmethods.
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-3
2. Answers jwill jvary. jKarsyn jcould jchoose jto jignore jher jsorority jsister’s jrequest,
jclaiming jConfidentiality. jShe jcould jalso jdiscontinue jactive jparticipation jin jthe jsorority.
jIn jany jcase, jKarsyn jmust jnot jconsent jto jher jsorority jsister’s jrequest jfor jconfidential
jinformation.
Confidential jRecords
As jthe jpayroll jclerk, jyour jtask jis jto jprotect jthe jprivacy jand jconfidentiality jof jthe jinformation
jyou jmaintain jfor jthe jcompany. jIf ja jstudent jgroup—or jany jpersonnel jaside jfrom jthe
jcompany’s jpayroll jemployees jand jofficers—wishes jto jreview jconfidential jrecords, jyou
jshould jdeny jtheir jrequest. jIf jneeded, jyou jshould jrefer jthe jgroup jto jyour jdepartment’s
jmanager jto jdiscuss jthe jmatter jin jmore jdepth. jThe jlaws jthat japply jto jthis jsituation jare jthe
jPrivacy jAct jof j1974, jU.S. jDepartment jof jHealth jand jHuman jServices jPrivacy jAct j09-40-
0006, jCommon-Law jPrivacy jAct, jComputer jFraud jand jAbuse jAct, jand jpotentially jHIPAA.
Large jvs. jSmall
1. Large jcompanies jface jissues jwith jmultiple jdepartments, jemployee jaccess jto
jonline jpersonnel jportals, jemployee jdata jsecurity, jand jtimekeeping jaccuracy.
2. For jsmall jcompanies, jpayroll jprocessing jwill jinvolve jfewer jemployees jthan jfor
jlarger jcompanies. jSmaller jcompanies jcould jmaintain jtheir jpayroll jneeds jusing
jcompany jpersonnel jbecause jof jthe jlower jvolume jof jtransactions. jLarger
jcompanies jneed jto jconsider jtheir javailable jtrained jpayroll jaccountants jand jother
jstaff jto jdetermine jif jthey jcan jreliably jhandle jthe jvolume jof jpayroll jneeds jin ja
jtimely jand jaccurate jmanner.
What jIs jthe jDifference?
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
, SM 7-4
a. Manual jpayroll jsystems jinvolve jthe juse jof jpaper jand jpencil jrecord-keeping jor ja
jspreadsheet jprogram, jsuch jas jMicrosoft jExcel. jThis jis jmost jappropriate jfor jvery
jsmall jfirms.
b. Computerized jpayroll jsystems jcan jbe jused jby jany jcompany, jregardless jof jsize.
jExamples jof jcomputerized jsystems jinclude jQuickBooks, jSage j100, jand jMicrosoft
jDynamics j365 jGP. jThese jcomputer jpackages jrange jin jprice, jdepending jon jthe
jcompany jsize jand joperational jscope.
c. Outsourced jpayroll jinvolves jthe jengagement jof ja jthird jparty jto jmanage ja
jcompany’s jpayroll jdata, jissue jemployee jcompensation, jand jprepare jtax jforms.
d. Certified jpayroll jpertains jto jcompanies jwith jemployees jwho jwork jon jfederal
jgovernment jcontracts. jCertified jpayroll jensures jthat ja jcompany jreports jpayroll
jexpenditures jof jcontractually jallocated jmoney.
ANSWERS jTO jEND-OF-CHAPTER
jMATERIALS jREVIEW jQUESTIONS
1. What jis jthe jpurpose jof ja jpayroll jsystem?
a. Provide jfor jinternal jand jexternal jreporting jof jemployee jwages jand jassociated
jtaxes, jpayment jof jemployee jcompensation, jand jmonitoring jof jbenefits jto
jemployees. jIt jalso jserves jas ja jmeans jof jtracking jlabor jcosts jthat jmanagers juse jfor
jdecision-making, jbudgeting, jand jplanning.
2. What jare jtwo jdifferences jbetween jlarge- jand jsmall-company jpayroll jpractices?
a. Small jcompanies jwould jhave jfewer jemployees jand jreporting jrequirements jand
jwould jbe jless jlikely jto jbe jrequired jto jhave jautomated jpayroll jsystems.
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
.
