Bridgeport Limited began operations on January $2,2022.$ Bridgeport employs $11$ individuals who work eight$-$hour days and are paid

hourly. Each employee earns $10$ paid vacation days and $7$ 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:

Assume that Bridgeport Limited has chosen not to recognize paid sick leave until it is used, and has chosen to accrue vacation time at

expected future rates of pay without discounting. Bridgeport uses the following projected rates to accrue vacation time:

Year in Which Vacation Time

Was Earned

$2022$

$2023$

Projected Future Pay Rates Used

to Accrue Vacation Pay

$$20\mathrm{.}75$ per hour

$$22\mathrm{.}60$ per hour