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Blue Company began operations on January 2 , 2 0 2 5 . It employs 1 1 individuals who work 8 - hour days and

Blue Company began operations on January 2,2025. It employs 11 individuals who work 8-hour
days and are paid hourly. Each employee earns 11 paid vacation days and 6 paid sick days annually.
Vacation days may be taken after January 15 of the year following the year in which they are
earned. Sick days may be taken as soon as they are earned; unused sick days accumulate.
Additional information is as follows.
Actual Hourly
Wage Rate
Vacation Days Used
by Each Employee
Sick Days Used
by Each Employee
202520262025202620252026
$9 $1001045
Blue Company has chosen to accrue the cost of compensated absences at rates of pay in effect
during the period when earned and to accrue sick pay when earned.
Prepare journal entries to record transactions related to compensated absences during 2025
and 2026.(If no entry isrequired,select "No Entry" for the account titles and enter 0 for the
amounts. Credit account titles are automatically indented when amount is entered. Do not indent
manually. List all debit entries before credit entries.)

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