Business Services Business Services 3

Question 1

A staffing agency places a temp worker at a client company. Who is typically responsible for payroll taxes for that worker?

Accepted Answer

The staffing agency

Answer

In a typical temp staffing arrangement, the agency is the employer of record and is responsible for payroll taxes, benefits, and compliance.

Question 2

What is the purpose of a non-disclosure agreement (NDA) in a business services context?

Accepted Answer

To prevent sharing of confidential information with outside parties

Answer

An NDA legally binds parties to keep specified confidential information secret, protecting trade secrets and proprietary data during business dealings.

Question 3

Which of the following is a key advantage of using a Professional Employer Organization (PEO)?

Accepted Answer

The PEO co-employs workers and handles HR, payroll, and benefits administration

Answer

PEOs enter a co-employment arrangement, allowing small businesses to access Fortune-500-level HR services, benefits, and compliance support.

Question 4

A law firm bills clients based on the number of hours worked multiplied by an hourly rate. This is called:

Accepted Answer

Hourly billing

Answer

Hourly billing charges clients based on the actual time spent on their matter at a predetermined rate per hour.

Question 5

What is 'accounts payable' in a business context?

Accepted Answer

Money the business owes to its suppliers or vendors

Answer

Accounts payable represents short-term obligations a company owes to suppliers for products or services received but not yet paid for.

Business Services Practice Test

Business Services Practice Test

Business Services Business Services 3