Bonita Company began operations on January 2, 2019. It employs 10 individuals who work 8-hour days and are paid hourly. Each employee earns 11 paid vacation days and 8 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 2019 2020 Sick Days Used by Each Employee 2019 2020 2019 2020 $10 $11 0 10 6 7 Bonita 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. Date Account Titles and Explanation Debit Credit 2019 Salaries and Wages Expense 8800 Salaries and Wages Payable 8800 (To accrue the expense and liability for vacations) Salaries and Wages Expense 6400 Salaries and Wages Payable 6400 (To accrue the expense and liability for sick pay) Salaries and Wages Payable 4800 Cash 4800 (To record payment for compensated time when used by employees) 2020 Salaries and Wages Expense 9680 Salaries and Wages Payable 9680 (To accrue the expense and liability for vacations) Salaries and Wages Expense 7040 Salaries and Wages Payable 7040 (To accrue the expense and liability for sick pay) Salaries and Wages Expense 800 Salaries and Wages Payable 8000 Cash 8800 (To record vacation time paid) Salaries and Wages Expense 160 Salaries and Wages Payable 6000 Cash 6160 (To record sick leave paid) (b) Compute the amounts of any liability for compensated absences that should be reported on the balance sheet at December 31, 2019 and 2020. 2019 2020 Vacation Wages Payable $ $ Sick Pay Wages Payable $ e Textbook and Media List of Accounts Save for Later Attempts: 0 of 3 used Submit