McFriend has 50 employees who are paid an average of $176 per day. The company allows 15 paid vacation days per year. Assume that McFriend Inc. has recorded a liability for compensated absences according to its vacation policy. For the August 31 payroll, McFriend pays its employees $120,000 for time worked and $10,000 for vacation taken.
Required:
Prepare the journal entry to record McFriend’s August 31 payroll.

Answer rating: 100% (QA)

Salaries payable 17631 days50 employees 272800 Vacation per year 15 days P... View the full answer