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Which one of the following is not a component of compensation of employees? - Economics

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Question

Which one of the following is not a component of compensation of employees?

Options

  • Wages and salaries in cash

  • Employers’ contribution to social security schemes

  • Compensation in kind

  • Contribution of employees towards social security schemes

MCQ
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Solution

Contribution of employees towards social security schemes

Explanation:

It is not part of the compensation of employees because it is paid by the employee, not the employer. Only payments made by the employer are included in the compensation of employees.

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Chapter 20: Methods of Measuring National Income - TEST YOURSELF QUESTIONS [Page 407]

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Frank Economics [English] Class 12 ISC
Chapter 20 Methods of Measuring National Income
TEST YOURSELF QUESTIONS | Q 1. | Page 407
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