Sokanu Website Design Service is a business that employs fifty full-time staff. Under their employment contract, each staff is entitled to ten days accumulating sick leave each year, provided sufficient medical certificates or similar documents are produced to confirm their ill health. Past experience and records indicate that on average staff use sixty percent of their sick leave each year. Staff work a five-day week (Monday to Friday), and are paid a salary of $52,000 each per year. The business records wages and relevant leave entitlements on a weekly basis. Required: Should Sokanu Website Design Service record any weekly liability for their employees’ sick leave? Explain and justify your answer with reference to the AASB 2020 Framework definition and recognition criteria. 

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The answer to the following question will be governed by AASB 119 Employee benefit expenses According to the said standard an entity shall recognise t... View the full answer