Use the Following Information to Questions

question 47

Multiple Choice

Use the following information to Questions
Lincoln City has a 6/30 fiscal year-end.The City has a policy of recognizing revenues/ expenditures when collected/paid or if expected to be collected/paid within 60 days of year-end.
The City has a sick leave benefit policy for its employees.The policy allows City employees one day of paid sick leave per month and permits them to accumulate sick leave they do not take.Sick leave vests at the completion of the fifth year of employment, and unused sick leave is paid in cash upon termination or retirement.During the fiscal year ended 6/30/11, City employees who are paid from the General Fund, earned $2.8 million of sick leave, of which $1.0 was taken.Of the balance, the City estimates $.2 million will be taken in the next sixty days, $.6 million will be taken in the next five years, $.4 million will vest, and $.6 million will never be taken.
-The amount of sick pay expenditure that should appear on the General Fund financial statements for the fiscal year ended 6/30/11 is

• A)$1.4 million.
• B)$1.3 million.
• C)$.6 million.
• D)$.5 million.

---

Definitions:

Impulsivity

A trait characterized by acting on a whim, displaying behavior characterized by little or no forethought, reflection, or consideration of the consequences.

Self-Control

The ability to regulate one's emotions, thoughts, and behaviors in the face of temptations and impulses.

Self-Regulation

The process of guiding and directing yourself to a desired state.

Agreeableness

How caring a person is for others and how the person gets along with other people; part of the Big Five personality traits.