A Summary of Selected Ledger Accounts Appears Below for Solomon's

question 107

Multiple Choice

A summary of selected ledger accounts appears below for Solomon's Electrical Services for the current calendar year-end. (1) The $18,000 debit to Retained Earnings on December 31 must represent

• A)dividends paid
• B)net income
• C)net loss
• D)sales of common stock

---

Definitions:

Stock Options

Financial incentives offered to employees, providing them the right to purchase company stock at a set price for a specific time period.

Piecework Rates

A compensation system where employees are paid a fixed rate for each unit produced or action performed, rather than receiving an hourly wage.

Standardized Jobs

Positions characterized by uniform tasks, requirements, and qualifications across different settings or organizations.

Retention Bonuses

Financial incentives offered to employees to encourage them to stay with the company for a specific period.