Question

In: Accounting

5.     In which one of the following lists are ALL items relevant when computing net employment...

5.     In which one of the following lists are ALL items relevant when computing net employment income?

A.    Employee contributions to a registered pension plan; signing bonus on accepting employment; use of an employer-owned automobile.

B.    Monthly automobile allowance; dental plan paid for by the employer; promotional cost incurred in selling the employer’s products.

C.    Subsidized meals in employer’s facilities; life insurance paid by the employer; legal fees incurred to collect unpaid salary.

D.    Tips and gratuities; dental insurance paid by the employer; exercise of options to purchase shares of the publicly traded employer.

Solutions

Expert Solution

Ans A.    Employee contributions to a registered pension plan; signing bonus on accepting employment; use of an employer-owned automobile.

In other options there are one or more item that is not relevant when computing net employment income.


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