Question: Assume the facts as in E13.6 except that Matthewson SA has chosen (1) not to accrue paid sick leave until used and (2) (Compensated Absences)

Assume the facts as in E13.6 except that Matthewson SA has chosen (1) not to accrue paid sick leave until used and (2) (Compensated Absences) to accrue vacation time at expected future rates of pay without discounting. The company used the following projected rates to accrue vacation time.

Year in Which Vacation Time Was Earned Projected Future Pay Rates Used to Accrue Vacation Pay

2018...............................................................................................€12.90

2019................................................................................................13.70

Instructions

a. Prepare journal entries to record transactions related to compensated absences during 2018 and 2019.

b. Compute the amounts of any liability for compensated absences that should be reported on the statement of financial position at December 31, 2018, and 2019.

Step by Step Solution

★★★★★

3.37 Rating (150 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a 2019 To accrue the expense and liability for vacations Salaries and Wages Expense 9864 3 Salaries ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1353-B-M-A-I(4176).docx

120 KBs Word File

Students Have Also Explored These Related Managerial Accounting Questions!

Assume the facts in E13-5, except that Matthewson Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay without...

Assume the facts in E13-5 except that Matt Broderick Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay without...

Assume the facts in the preceding exercise, except that Zero Mostel Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay...

Please solve it by using the computer and every question are alone like: ( Under each question write the slove for it ) from this page i need 13-7 only from this one 13-11 and 13-13 this one 13-18...

Assume the facts as in E13-6 except that Matthewson Company has chosen (1) not to accrue paid sick leave until used and (2) to accrue vacation time at expected future rates of pay without...

Assume the facts in the preceding exercise, except that Zeile Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay...

please explain 2. 30Tk 8-ho Pearl Company began operations on January 2, 2020. It employs 15 individuals who work 8 -hour days and are paid hourly. Each employee earns 10 paid vacation days and 5...

hamrock Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay without discounting. The company used the following...

Sunland Company began operations on January 2, 2025. It employs11individuals who work 8-hour days and are paid hourly. Each employee earns12paid vacation days and7paid sick days annually. Vacation...

At the end of the prior year ending on December 31, Year 1, O'Connor Company's records reflected the following for Machine A: Cost when acquired Accumulated depreciation At the beginning of January...

Draw a graph to show the relationship between two variables that move in the same direction.

Question I: The Diamond Model ( 3 5 points ) Vandelay Industries would like to fund a new project in importing and exporting goods. To do this, they will need funding to cover various startup costs....

Records show that, on average, 2 tankers arrive per day, with a Poisson distribution. Supertankers are unloaded one at a time on a first-come, first-served (FCFS) basis. Unloading requires...

Assets for the seven industry segments of Penner Corporation are as follows: Based only on the assets test, which industry segments are reportable under IFRS? (thousands) (thousands) Gamma Kennedy...

What are the accounting problems related to the presentation of interim data?

A major business publication reported a 12% annual rate of inflation based on a recent 1% monthly increase in the CPI (consumer price index). What is the true or effective annual rate of inflation?...

CLA 2 Comprehensive Learning Assessment 2 - CLO 1, CLO 2, CLO 3, CLO 6 Review peer reviewed journal articles and write at least three pages about theories of dividend policy. Apply your knowledge of...

Consider the following information on three stocks: Rate of Return if State Occurs State of Probability of Economy State of Economy Stock A Stock B Stock C Boom 0.35 0.45 0.35 0.45 Normal 0.5 0.29...