1) Reese's, a production worker earns P27,600 per month and the company pay the worker a year-end bonus equivalent to one month's wages. Rhys is also entitled to a half-month paid vacation per year. Company policy provides that bonus and vacation payments be treated as indirect costs and accrued during the 11 & months the employee is at work. How much liability for vacation pay shall be recorded?

2 ) Management of the Robinson Manufacturing Company requests that you calculate the effect of two different wage payment plans upon employee earnings and also on the unit labor cost of Product B12.

The following information is available:

(1) The hourly rate is P15.00.

(2) The labor rate per piece of Part 1567, if the employee is paid on a piece-rate basis, is P.50.

Ten pieces of Part 1567 are required for one unit of Product B12. The plant works a 5-day week and an 8-hour day, totaling 40 hours per week. No overtime premium pay is to be considered in your analysis.

During a selected week, the following pieces of Part 1567 were produced:

Day Part X Quantities Produced

1) 180

2) 240

3) 300

4) 150

5) 200

An agreement with the union requires a minimum rate of P10.00 per clock hour be paid to employees.

Calculate the labor cost each day of the week for an employee under the hourly-rate plan.