Which of the Following Statements Does NOT Describe Workers' Compensation

question 22

Multiple Choice

Which of the following statements does NOT describe workers' compensation?

• A) All employers pay the same premium rate to be eligible for workers' compensation.
• B) Employers share collective liability, though contributions may vary among employers in the same industry.
• C) Workers' compensation is based on loss of earnings.
• D) The system is no-fault and nonadversarial, and thus offers no recourse to the courts.

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Definitions:

Cash Account

A cash account is a brokerage account that requires the investor to pay the full amount for securities purchased and to receive full delivery of the securities sold.

Two-Column Journal

A fundamental accounting record with two columns used for debits and credits to record financial transactions.

Debit

An accounting entry that increases an asset or expense account, or decreases a liability or equity account. It is positioned on the left side of an account ledger.

Credit

An accounting entry that increases the balance of liabilities and equity accounts or decreases the balance of an asset or expense account.