Some employers will pay out employees for any unused sick-leave entitlements if they leave the organisation, whereas in other organisations employees forfeit this entitlement when they leave. Explain how these different types of sick-leave entitlements are treated for accounting purposes.

Some employers will pay out employees for any unused sick-leave entitlements if they leave the organisation, whereas in other organisations employees forfeit this entitlement when they leave. Explain how these different types of sick-leave entitlements are treated for accounting purposes.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 17Q: What are examples of involuntary deductions employers are required to collect for employee and...

See similar textbooks

Related questions

Q: A new employer will be assigned a SUTA contribution rate: a. will be different for all new…

A: The correct answer is Option (d).

Q: What is the maximum contribution that an employer can make to an employee’s SIMPLE account?

A: A SIMPLE IRA (Savings Incentive Match Plan for Workers) plan enables employees as well as employers…

Q: Which of the following is true regarding the banning of mandatory retirement? It reduces the…

A: Retirement is the stage when a person stops working, different companies has set different ages of…

Q: Most employees that choose to commit fraud against their employers feel justified in doing so. For…

A: Internal control is an important part of every organization. It helps in maintaining the efficiency…

Q: 1. Which of these is NOT a regulation set forth within ERISA? Answer: A. Employees must be…

A: You have posted multiple un-interlinked questions, so as per our policy only first question will be…

Q: Which of the following statements regarding workers’ compensation insurance is true? Group of…

A: Workers' compensation insurance provides compensation for injuries and disabilities sustained by an…

Q: If an employee pays for a periodic medical checkup required by an employer, can the amount paid be…

A: Any amount given by the employer for a periodic medical check-up to the employee is liable for…

Q: Explain what an experience or merit rating is and how it affects the amount paid by an employer for…

A: State Unemployment Insurances taxes: These are the taxes paid by the employer to the credit of the…

Q: Which of the following is incorrect in relation to termination benefits? A benefit resulting from…

A: Solution: Following are correct statement in relation to termination benefits: A benefit resulting…

Q: Should employee vacation pay be recorded in the period during which the vacation privilege is earned…

A: Vacation is the period provided to the employee by the company. And the associated privileges are…

Q: In terms of classification of short-term compensated absences; which of the following is incorrect?…

A: Vesting short term absences entitled to cash payments for unused entitlement and non vesting short…

Q: Since they are NOT an employee, it is solely the responsibility of the independent contractor to…

A: The answer for the True or False question is given hereunder :

Q: Explain he basic arrangement in a worker’s compensation scheme. What is meant by ‘exclusive remedy”…

A: Hi, the question has multiple sub-parts and as per our policy, we will answer the first three.…

Q: 1. Which statement is incorrect regarding recognition of employee benefits? a. For post-employment…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: With relation to the acknowledgment of employee benefits, which statement is false? A. The payment…

A: Compensation packages are a type of remuneration provided by businesses to workers in addition to…

Q: What might a company do to prevent an employee from taking wages in kind?

A: Internal control is an important part of every organization. It helps in maintaining the efficiency…

Q: Which of the following is not an example of how payroll can provide input into the union negotiation…

A: Union negotiation process involves determining the pay for various categories of employees and…

Q: What are some of the reasons employers have been sued with respect to the managing of their…

A: Introduction: As far as suing an employer is concerned couple of clear reasons appears which are…

Q: Abreu Company allows employees the option of carrying over unused vacation days or "cashing" them…

A: Overtime pay is the additional pay made to the employees for spending extra working hours. It is…

Q: The needs of management and the requirements of various federal and state laws make it necessary for…

A: The answer is as fallows

Q: For termination benefits payable as a result of an entity’s decision to terminate an employee’s…

A: The correct answer is All of other choices.

Q: Employer-sponsored Accident and Health Plans, Medical Reimbursement Pland, Long Term Care Insurance…

A: Employer offers several benefit plans to employees which include group health care plans and…

Q: These are compensated or paid absences that are carried forward and can be used in future periods…

A: Compensated absences are the leaves and absents of the employees that are being compensated or paid…

Q: These are employee benefits (other than termination than termination benefits) which are payable…

A: The compensation which is additional in nature and forms a part of the employment contract refers to…

Q: Faith Battle operates a health food store, and she has beenthe only employee. Her business is…

Q: Employee benefits are all forms of monetary consideration given by an entity in exchange for…

A: IAS 19 Employee benefits relates to accounting of all the employee payments apart from share based…

Q: Do workers compensations statutes apply to seasonal or temporary workers? Explain

A: Definition: Worker’s compensation scheme: Worker’s compensation scheme is an arrangement that…

Q: Employees at Abreu Company have the option of carrying over or "cashing" in unused vacation days.…

A: Overtime pay is the additional compensation given to workers in exchange for working longer hours.…

Q: With respect to qualified retirement plans, nondiscrimination rules prohibit employers from giving…

A: Non discriminatory rules prohibit a Company to give preferential treatment to some of its key…

Q: d it be a violation of a consumer credit protection act to suspend, demote, or transfer an employee…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: for any unused sick leave entitlements if they leave the organisation, whereas in other organisatons…

A: Unused Sick leave entitlements: Each and every employee are allotted sick leaves. If employees do…

Q: mployee benefits are all forms of monetary consideration given by an entity in exchange for services…

A: Employee benefits are non-monetary compensation granted to employees as a condition of employment.…

Q: Under the Family and Medical Leave Act , what is the maximum number of weeks of unpaid leave that a…

A: Family And Medical Leave Act - It is a federal law that protects the jobs of the workers if they…

Q: 1.Why do the employee deductions display as negative amounts on the Payroll Entry window 2.What are…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: Which of the following amounts paid by an employer to an employee is not subject to withholding? Oa.…

A: Given : Multiple options a) Salary b) Travel expense reimbursements from an accountable plan c)…

Q: The Act guarantees job protection to women on maternity leave. OPrivacy OVocational O Civil Rights…

A: Maternity leaves are required by the women when they are pregnant and are expected to give birth to…

Q: Which one of the following increases the labour costs to an entity? Select one: O A. Productivity…

Q: credit reports

A: A credit report is a report that contains detailed information about the individual's credit…

Q: Which one of the following increases the labour costs to an entity? Select one: A. Productivity…

A: Employee means a person who work in our company and get wages or salaries in return of work…

Q: Why should the employee’s supervisor not distribute paychecks?

Q: Which of the following is a rationale against mandatory retirement? It is a form of age…

A: Mandatory retirement refers to when an employee has to compulsorily leave a organization after…

Q: Payroll Accounting What information appears on the payroll register? What records are needed for an…

A: Payroll Accounting: Information that appears on the Payroll register: Payroll register is basically…

Q: Which of the following departments most likely would approve changes in pay rates and deductions…

Q: When it comes to employee wages, gross pay refers to the whole amount earned before deductions.…

A: Gross salary is defined as: A payment paid to an employee for completing tasks assigned by the…

Q: What do employers do with the money they withhold from workers paychecks

A: Withholding is the proportion of the salary of an employee that is not included in his or her…

Q: It is a fact that teachers receive very meager salaries. Do you think this is an injustice? Explain…

A: Teachers are the foundation of a nation's future as they educate children and guarantee a society of…

Question

100%

Some employers will pay out employees for any unused sick-leave entitlements if they leave the organisation, whereas in other organisations employees forfeit this entitlement when they leave.

Explain how these different types of sick-leave entitlements are treated for accounting purposes.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Federal Insurance Contributions Act (FICA)

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

What are examples of involuntary deductions employers are required to collect for employee and employer payroll liabilities?
Some employers will pay out employees for any unused sick leave entitlements if they leave the organisation, whereas in other organisatons employees forfeit this entitlement when they leave. Needs answer to the following; Explain how these different types of sick leave entitlements are treated for accounting purposes.
When an organisation recognises a provision and related expense for annual leave and a provision for long-service leave for its employees, the risk to employees that they will not be paid these amounts that have been provided is effectively zero. Is this true or false? Why?
What can a business do to prevent an employee from receiving salary in kind?
What happens to the money withheld from employees' paychecks by their employers?
Which of the following statements regarding workers’ compensation insurance is true? Group of answer choices a. The federal government is responsible for setting workers’ compensation legislation and regulating the program. b. Workers’ compensation insurance includes only rehabilitation expenses. c. Employees are required to bear half of the entire cost of workers’ compensation insurance. d. Workers’ compensation insurance compensates workers who are injured on the job or become ill through work-related causes. e. Employers who file the most claims pay the lowest premiums on the insurance coverage.
. If a fringe benefit involves a deduction from employee pay, which of the following is true? A. Employers may only offer the benefit to certain classes of employees. B. The employee must enroll in direct deposit for their pay. C. The fringe benefit must be subject to income tax. D. The amount of the deduction must be listed on the employee's pay advice. 2. The ________ determines when benefit amounts should be withheld from employee pay. A. employee B. employer C. IRS D. State in which the business is conducted
Apart from the benefits required by legislation, what benefit can a company expect from offering additional post-employment benefits to its employees? Share your opinion.
What do employers do with the money they withhold from workers paychecks
There are strikes in Ghana, which bring financial suffering to both employers and workers. Would you expect a commercial insurer to provide insurance protection to either the workers or the employers to cover losses resulting from these strikes?
A positive-balance employer has: a. an employee development program that promotes work-life balance and leadership skills. b. a reserve account whereby the benefits paid out are less than the taxes paid in. c. a reserve account whereby the benefits paid by the state = the taxes paid in. d. a reserve account whereby the benefits paid out exceed the taxes paid in.
If an employee pays for a periodic medical checkup required by an employer, can the amount paid be deducted, and if so, is there any limitation? Explain.