Employee Benefits PART 1 (Non-Graded Assessment)

It refers to a plan where plan assets, if any, are retained and managed by the employer.

• Funded plan

• Non-contributory plan

• Unfunded plan

• Delicate plan

These are pool of assets contributed by various unrelated employers to be used to pay retirement benefits to participants without regard to the identity of the contributing employers.

• Multi-employer plans

• State plans

• Pooling of assets plan

• Secret plan

Multi-employer plans are treated as

• Defined contribution plan

• Defined benefit plan

• Hybrid plan

• Defined contribution or defined benefit plan

These are established by legislation and are operated by a government agency which is not subject to control or influence by the reporting entity.

• State plans

• SSS

• GSIS

• Puro plan

State plans are

• accounted for as defined contribution plan

• accounted for as defined benefit plan

• accounted for in the same way as multi-employer plans

• accounted for only by the Commission on Audit

The accounting for defined contribution plan

• is straightforward – actuarial computations are not required.

• is complex – actuarial computations are required

• is simple – not accounted for

• is done only by CPAs

Under a defined contribution plan, the retirement benefits expense is

• equal to an actuarially determined amount

• equal to the agreed periodic contribution to the fund

• equal to the contribution made during the period

• zero, if no employee retired during the period

Employee benefits are all forms of consideration given by an entity in exchange for service rendered by employees. Which of the following employee benefits is not within the scope of PAS 19?

• Short-term

• Post-employment

• Other long-term

• Termination

• Share-based payments

Which of the following employee benefits is not within the scope of PAS 19?

• Semi-monthly salaries of employees

• Employer’s share in SSS contributions

• One sack rice allowance

• Bonus in the form the entity’s shares

Accumulating compensated absences are those that

• can be carried over to the next period if not fully used during the year of entitlement.

• expire if not fully used during the year of entitlement.

• can be carried over to the next period if not fully used during the year of entitlement and are paid in cash when the employee leaves the company

• are recognized only when actually taken by employees