Thomas and Alex Are Welders Working for Two Different Divisions

question 8

Multiple Choice

Thomas and Alex are welders working for two different divisions of the same company.Both have the same level of experience.However,Thomas earns more than Alex.Under the Fair Labor Standards Act (FLSA) ,which of the following will justify the organization's decision to pay Thomas more than Alex?

• A) Thomas lives in a location where living expenses are higher
• B) Alex is younger than Thomas
• C) Thomas is a U.S.citizen
• D) Alex is physically disabled
• E) Alex works the night shift

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Definitions:

Straight-line Amortization

An accounting method of incrementally reducing the cost value of an intangible asset over its useful life.

Interest Payment

The payment a borrower makes to a lender as compensation for the use of borrowed money.

Journal Entry

A journal entry is a record of a financial transaction in the accounting records, showing the accounts and amounts to be debited and credited.

Discount on Bonds Payable

The difference between the face value of a bond and the price for which it sells when the bond's market value is lower than its face value.