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    PracticeCPA®CPA REG Practice Exam 3Question 51
    Hard1 markMultiple Choice
    Area II: Business LawREGBusiness Law

    CPA · Question 51 · Area II: Business Law

    Which of the following creates a 'rebuttable presumption' that a payment to a worker is for an employee relationship rather than an independent contractor relationship?

    Answer options:

    A.

    The worker is paid by the job.

    B.

    The worker provides their own tools.

    C.

    The employer has the right to control the details of how the work is performed.

    D.

    The work is temporary.

    How to approach this question

    Control Test: If the boss controls WHAT is done and HOW it is done, it's an employee.

    Full Answer

    C.The employer has the right to control the details of how the work is performed.✓ Correct
    C
    The primary factor in determining worker classification is the degree of control the principal has over the worker. If the principal has the right to control not only the result but also the means and methods of accomplishing it, the worker is generally an employee.

    Common mistakes

    Focusing on payment method rather than control.
    Question 50All questionsQuestion 52

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