Leyte Company an entity granted all employees two weeks of paid vacation for each full year...

 

Transcribed Image Text:

Leyte Company an entity granted all employees two weeks of paid vacation for each full year of employment. Unused vacation time can be accumulated and carried forward to succeeding years and will be paid at the salaries in effect when vacations are taken or when employment is terminated. Liability for accumulated vacations on January 1, 2019 600,000 Pre-2018 accrued vacations taken from January 1, 2019 to September 30, 2019 450,000 Vacations earned for work in 2019 adjusted to current rate 400,000 The entity granted a 15% salary increase to all employees on October 1, 2019. What amount should Leyte Company report as vacation pay expense for 2019? Leyte Company an entity granted all employees two weeks of paid vacation for each full year of employment. Unused vacation time can be accumulated and carried forward to succeeding years and will be paid at the salaries in effect when vacations are taken or when employment is terminated. Liability for accumulated vacations on January 1, 2019 600,000 Pre-2018 accrued vacations taken from January 1, 2019 to September 30, 2019 450,000 Vacations earned for work in 2019 adjusted to current rate 400,000 The entity granted a 15% salary increase to all employees on October 1, 2019. What amount should Leyte Company report as vacation pay expense for 2019?

Answer rating: 100% (QA)

Solution vacation pay expenses will be equal to current period vacat... View the full answer