Verification of the Legitimacy of Year-End Unpaid Bonuses to Officers

question 54

Multiple Choice

Verification of the legitimacy of year-end unpaid bonuses to officers and employees can be accomplished by comparing the recorded accrual to the amount

• A)in the expense account.
• B)used in the prior period.
• C)authorized and recorded in the minutes of the board of directors.
• D)paid in the subsequent period.

---

Definitions:

Private Sector

The part of a country's economic system that is run by individuals and companies, rather than by the government.

Private Organizations

Entities that operate independently of government control, often driven by private ownership or non-profit motives.

Medicare Coverage

A federal health insurance program in the United States for people aged 65 and older, as well as for some younger individuals with disabilities.

Federal Government

The national government of a federated state, which shares sovereignty with the individual sub-units (such as states or provinces) and which possesses the highest authority in the land under the constitution.