Chavez Co.’s salaried employees earn four weeks vacation per year. It pays $312,000 in total employee salaries for 52 weeks but its employees work only 48 weeks. This means Chavez’s total weekly expense is $6,500 ($312,000 48 weeks) instead of the $6,000 cash paid weekly to the employees

($312,000 52 weeks). Record Chavez’s weekly vacation benefits expense.

AppendixLO1