There Are Eight Employees in the Accounts Receivable Department

question 129

Multiple Choice

There are eight employees in the accounts receivable department. Four work 40 hours a week, and four work 20 hours a week. How many FTEs are in this department?

• A)4
• B)6
• C)8
• D)10

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Definitions:

Consolidated Income Statement

A financial statement that summarizes the financial performance of an entire group of companies, including all subsidiaries, for a given period.

Income Tax Rate

The percentage at which an individual or corporation is taxed on their income, which can vary depending on the level of income earned and jurisdiction.

Goodwill

A non-physical asset that is recognized when one business purchases another at a price higher than the combined fair market value of its physical and recognizable non-physical assets.

Bonds Payable

A liability companies incur when issuing debt securities to investors, repayable at a future date.