State University, a Public University, Has a Policy of Granting

question 29

Multiple Choice

State University, a public university, has a policy of granting faculty members a one-year paid sabbatical leave after a period of seven years continuous employment. The leave is for further study, research, or public service. A particular faculty member earns $90,000 per year. Assuming that the college maintains its books and records in a manner that facilitates the preparation of fund financial statements and assuming that any appropriate accruals have been made, what is the appropriate entry to record the employee's salary paid while on sabbatical leave?

• A) Debit Expenditures $90,000; Credit Cash $90,000.
• B) Debit Expenses $90,000; Credit Cash $90,000.
• C) Debit Sabbatical leave payable $90,000; Credit Cash $90,000.
• D) No entry required.

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Definitions:

Body Dissatisfaction

A negative perception of one's own body image, often leading to psychological distress and can influence the development of eating disorders.

Dual-Process Model

A cognitive theory that suggests there are two systems of thought - one that is fast, automatic, and emotional, and another that is slower, more deliberate, and logical.

Inductive Thinking

A method of thought that includes making widespread deductions based on precise cases or occurrences.

Deductive Thinking

A thought process where an end point is determined by the uniformity of several commonly accepted assumptions.