Asked by Tanner Marshall on May 29, 2024
Verified
What is the term for the total amount of income earned by an employee before deductions are subtracted?
A) Net earnings
B) Quarterly return
C) Tax liability
D) Gross earnings
E) Withholding allowance
Gross Earnings
The total amount an employee earns before deductions.
Net Earnings
Take-home pay, calculated by subtracting total deductions from gross earnings.
Tax Liability
The total amount of tax that an individual or entity is legally obligated to pay to a tax authority.
- Distinguish between gross and net earnings.
Verified Answer
ZK
Zybrea Knight
Jun 04, 2024
Final Answer :
D
Explanation :
Gross earnings refer to the total amount of income earned by an employee before any deductions, such as taxes or retirement contributions, are subtracted.
Learning Objectives
- Distinguish between gross and net earnings.