Abbott Co Has 5 Employees Who Worked the Entire Year

Multiple Choice

Abbott Co. has 5 employees who worked the entire year. Each employee earns 6 paid vacation days annually. Vacation days may be taken during December of 2016 and all of 2017. All unused vacation days are paid when the employee leaves the company. The daily wage in 2016 per employee is $100. This is an example of

A) a definite liability.
B) a third party liability.
C) a gain contingency.
D) unearned revenue.