Which of the Following Is a Fringe Benefit Not Included

question 3

Multiple Choice

Which of the following is a fringe benefit not included as compensation?

• A)Discounts on services,limited to 30% of the price charged to nonemployee customers.
• B)Educational assistance limited to $7,250.
• C)Group-term life insurance up to $50,000 of coverage.
• D)Overtime meal money.

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Definitions:

Carrying Cost

The total cost of holding inventory, including storage, insurance, taxes, and opportunity costs, among others.

Order Quantity

The amount of stock or goods a company purchases or plans to purchase in a single order.

Operating Cycle

The amount of time it takes for a business to buy inventory, sell that inventory, and collect cash from the sale.

Cash Cycles

The duration it takes for a business to convert its investments in inventory and other resources back into cash flows from sales.