Jannet Company, Currently Pays Its Employees at the End of a Week

question 171

Multiple Choice

Jannet Company, currently pays its employees at the end of a week. The weekly payroll totals $400,000. If it were to extend the pay period so as to pay its employees 1 week later throughout an entire year, the employees would in effect be lending the firm ________ for a year.

• A) $400,000
• B) $20,800,000
• C) $4,800,000
• D) $675,000

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Definitions:

Federal Deficit

The financial shortfall when a government's expenditures exceed its revenues within a given fiscal year, leading to the need for borrowing and debt accumulation.

Economic Recovery

The phase following a period of economic downturn or recession, characterized by a gradual improvement in the health of an economy, marked by increases in employment, consumer spending, and overall economic growth.

Robert Rubin

An American economist and banking executive who served as the 70th United States Secretary of the Treasury during the Clinton administration.

Wall Street

A street in lower Manhattan that is home to the New York Stock Exchange and represents the heart of the financial district and the world of American financial markets.