Which of the following is not included in compensation of employees?

Wages and salaries in cash

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Windfall gains

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Employees' contribution to social security schemes

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all of the above

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Solution

The correct option is B Employees' contribution to social security schemes
Compensation of employees refers to the total gross waged paid to the employees for the work done by them. It is paid by the employers in a given accounting period. Employees' contribution to social security schemes are not included in compensation of employees, whereas, wages and salaries in cash and windfall gains are included in compensation of employees.

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Similar questions

Which of the following is a final and intermediate expenditure?

(a) Purchase of furniture by an office firm

(b) Expenditure on the uniforms of the staff of the hospital

(d) Expenditure on the improvement of machinery in a factory

Calculate wages and salaries from the following data:

$G D P_{m p}$ = 4200

Depreciation = 150

NIT = - 40

Rent royalty interest = 1650

Profits = 300

Employers contribution to social security scheme = 50

Employees contribution to social security scheme = 250

Dearness allowance = 140

Mixed income = 2000

		(Rs crores)
i)	Wages and salaries	800
ii)	Personal tax	150
iii)	Operating surplus	200
iv)	Undistributed profits	10
v)	Social security contributions by employers	100
vi)	Corporate tax	50
vii)	Net factor income to abroad	(-)20
viii)	Personal disposable income	1,200
ix)	Net indirect tax	70
x)	Consumption of fixed capital	30
xi)	Mixed income of self-employed	500
xii)	Royalty	9

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