Question

The amount of the liability for compensated absences should be based on the current rates of pay in effect when employees earn the right to compensated absences. the future rates of pay expected to be paid when employees use compensated time. the present value of the amount expected to be paid in future periods.

Answer 1

The answer is the first one. The measure of the liability for remunerated unlucky deficiencies ought to be found on the present rates of pay in actuality when representatives gain the privilege to repaid nonattendances and the future rates of pay anticipated that would be paid when workers utilize repaid time.