The journal entry a company uses to record pension rights that have not been funded for its salaried employees at the end of the year is

A) debit Salaries Expense; credit Cash
B) debit Pension Expense; credit Unfunded Pension Liability
C) debit Pension Expense; credit Unfunded Pension Liability and Cash
D) debit Pension Expense; credit Cash

Unfunded Pension Liability

The gap between the projected benefits of a pension plan and the assets available to fund those benefits.

Pension Rights

The entitlements that employees accumulate over time that entitle them to receive benefits from a pension plan upon retirement.

Salaries Expense

The total amount recorded by a business for the wages and salaries paid to employees during a reporting period.