When an Employee Is Permitted to Chose Only the Benefits

question 37

Multiple Choice

When an employee is permitted to chose only the benefits that they really want to participate in from a full list of benefit plans it is known as a/an:

• A) employee assistance program.
• B) employee wellness program.
• C) traditional health care plan.
• D) flexible benefit plan.
• E) preferred provider organization.

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Definitions:

Sales Returns and Allowances

Refers to the process of refunding or reducing the sale price for previously sold goods that are returned or for which concessions are made.

Accounts Payable

The amount a company owes to suppliers or vendors for goods or services received but not yet paid for.

Debit

An entry recorded on the left side of a bookkeeping ledger for a transaction that increases asset or expense accounts, or decreases liability, equity, or revenue accounts.

Sales Tax Payable

A liability account that records the amount of sales tax collected from customers, which is owed to the government.