ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 273

8. A company must accrue a liability for sick pay that
accumulates but does not vest.

9. Companies report the amount of social security taxes
withheld from employees as well as the companies’ matching
portion as current liabilities until they are remitted.

10. Accumulated rights exist when an employer has an
obligation to make payment to an employee even after
terminating his employment.

11. Companies should recognize the expense and related
liability for compensated absences in the year earned by
employees.

12. Companies should accrue an estimated loss from a loss
contingency if information available prior to the issuance of