Use the Following Information to Questions

question 43

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 expense that should appear on the government-wide financial statements for the fiscal year ended 6/30/11 is

• A)$2.8 million.
• B)$2.6 million.
• C)$.1.2 million.
• D)$.1.4 million.

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Definitions:

Attaining Goal

Achieving a desired outcome or reaching a specific target through concerted effort and planning.

Energized Group

A team or collection of individuals infused with enthusiasm and vitality, often leading to increased productivity and creativity.

Direction Setting

The process of establishing clear, strategic, and achievable objectives and goals for an individual, team, or organization to guide its efforts and resources.

Home-Health Aide

A healthcare professional who provides in-home assistance to individuals with disabilities, chronic illnesses, or cognitive impairment.