Sunset Company Has a Policy of Accruing $2300 for Every

question 81

Multiple Choice

Sunset Company has a policy of accruing $2300 for every employee as a vacation benefit.Sarah,an employee,took a vacation.Which of the following is the correct journal entry for the vacation benefit paid?

• A) \[\begin{array} { | c | l | l | }
• \hline \text { Vacation Benefits Payable } & 1917 & \\
• \hline \text { Vacation Benefits Expense } & & 1917 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | c | l | l | }
• \hline \text { Vacation Benefits Expense } & 2300 & \\
• \hline \text { Cash } & & 2300 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | c | l | l | }
• \hline \text { Vacation Benefits Payable } & 2300 & \\
• \hline \text { Cash } & & 2300 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | c | l | l | }
• \hline \text { Vacation Benefits Expense } & 1917 & \\
• \hline \text { Vacation Benefits Payable } & & 1917 \\
• \hline
• \end{array}\]

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Definitions:

Gini Coefficient

A metric used to evaluate the extent of income difference within a community, moving from 0 for full equality to 1 for total inequality.

Inequality

The unequal distribution of income, wealth, opportunities, or resources among different individuals or groups in society.

Human Capital

The economic value of an individual's skills, knowledge, and experience, considered an asset in terms of productivity.

On-the-Job-Training

The practice of teaching employees the skills and competencies needed to perform their jobs directly within the workplace.