Coronado provides its employees two weeks of paid vacation per year. As of December 31, 60 employees have earned two weeks of vacation time to be taken the following year. If the average weekly salary for these employees is $1000, what is the required journal entry?

Debit Salaries and Wages Expense for $120000 and credit Salaries and Wages Payable for $120000.

No journal entry required.

Debit Salaries and Wages Payable for $119495 and credit Salaries and Wages Expense for $119495.

Debit Salaries and Wages Expense for $60000 and credit Salaries and Wages Payable for $60000.