The Purpose of Fringe Benefits Is to ________

question 60

Multiple Choice

The purpose of fringe benefits is to ________.

• A) reduce taxable compensation
• B) entice employee engagement
• C) avoid cash outlays for employee benefits
• D) defer tax obligations

---

Definitions:

Leap Years

Years with an extra day (February 29) added to keep the calendar year synchronized with the astronomical year or seasonal year.

Interest Computation

The process of calculating the interest due on a loan, based on the principal, interest rate, and time.

Lending Institution

An organization that provides financial loans to individuals or businesses, expecting repayment with interest.

Discounted

The process of determining the present value of a payment or a series of payments that will be made in the future, taking into consideration a specific interest rate.