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Identify which option is not considered as independent contractor.
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Answer to Problem 1QY
b. Salesperson
Explanation of Solution
Independent contractor:
An independent contractor is a person who performs service for the company for a fee and does not work under the control and direction of the company that pay for the service. Some of the examples of the independent contractor are doctors, lawyers, architects, exterminators.
Justification for the incorrect option:
Option a, c, d and e:
Plumber, lawyer, CPA and electrician are independent contractor is a person who performs service for the company for a fee and does not work under the control and direction of the company that pay for the service. Hence, Option a, c, d and e are incorrect.
Justification for the correct option:
Option b:
Sales person is an employee who works for compensation and abides to the directions and control of the employer. Hence, Option b is the correct answer.
Therefore, from the given explanation Option b (Salesperson) is the correct answer and other options a, c, d and e are incorrect options.
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Chapter 7 Solutions
College Accounting - With Quickbooks 2015 CD and Access
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