"Working Condition Fringe Benefits," Such as Memberships in Professional Organizations

question 47

True/False

"Working condition fringe benefits," such as memberships in professional organizations paid for by the employer,are generally excluded from the employee's gross income.

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Definitions:

Full Employment

A situation in an economy where all available labor resources are being used in the most efficient way possible, typically associated with low unemployment rates.

Inflation

The tempo at which the collective cost of goods and services rises, impairing the purchasing potential.

Unemployment Insurance

A government program that provides temporary financial assistance to unemployed workers who have lost their jobs through no fault of their own.

Nominal Rate

The interest rate before adjustments for inflation. It is the rate that is quoted by banks and other financial institutions for savings accounts, loans, and mortgages.