The Idea of the Cycle Approach Is to Group Accounts

question 14

Multiple Choice

The idea of the cycle approach is to group accounts together by:

• A)specific function.
• B)financial statement assertion.
• C)audit objective.
• D)transactions that affect all accounts in that particular group.

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Definitions:

Scanlon Plan

A participative management approach focusing on employee involvement in improving productivity and sharing the resulting cost savings as bonuses.

Gain-Sharing

A performance-based compensation strategy where employees receive bonuses based on the company's savings or increased profitability due to their efforts.

Pay Secrecy

Policies or practices that restrict employees from sharing or discussing their salary information with others.

Merit Pay Plan

A compensation strategy that rewards employees based on their performance and achievements rather than their position or seniority.