Before Firing an Employee, Employers Should Apply the

question 100

Multiple Choice

Before firing an employee, employers should apply the

• A)principles of just cause.
• B)standards of employment conduct.
• C)rules of fair employment.
• D)policies of equity and responsibility.

---

Definitions:

Reversing Temporary Difference

A temporary difference that will result in deductible amounts in future years, affecting taxable income.

Originating Temporary Difference

An originating temporary difference in accounting refers to the initial differences between the book value of an asset or liability and its tax base, which will result in taxable or deductible amounts in the future.

Permanent Difference

An accounting difference between the taxable income and accounting income that will not reverse in future periods.

Matching Principle

The accounting concept that expenses should be recognized in the same period as the revenues they helped to generate.