A Government Has a Liability for Accrued Compensated Absences at the Beginning

Multiple Choice

A government has a liability for accrued compensated absences at the beginning of 20X5 of $500,000. This liability did not mature in 20X4. At the end of 20X5, the government has a liability for accrued compensated absences (not due and payable) of $600,000. In addition, the government had $10,000 of matured compensated absences to be paid in early 20X6 from existing fund assets. The government paid compensated absences of $400,000 during 20X5. The General Fund expenditures for compensated absences for 20X5 should be reported at what amount?

A) $400,000.
B) $410,000.
C) $500,000.
D) $510,000.