The XYZ Corporation Wants to End the Period with What

question 48

Multiple Choice

The XYZ Corporation wants to end the period with What is the appropriate action to insure such an outcome?

• A) pay accounts payable from cash
• B) lag the next payroll
• C) pay down an impaired asset
• D) sell current marketable securities for cash at their book value

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Definitions:

Payroll Register

A Payroll Register is a document that summarizes all employee earnings, deductions, and net pay during a payroll period, serving as a detailed record of payroll activity.

Prior Year's Earnings

The net income or profit left over from the previous fiscal year after expenses, taxes, and dividends have been deducted.

Estimated Liability

A financial obligation that is expected to be incurred, but the exact amount and timing are not completely certain.

Lawsuit

A legal action or proceeding between two or more parties that seeks to enforce or defend a legal right.