Culver Company began operations on January 2, 2019. It employs 12 individuals who work 8-hour days and are paid hourly. Each employee earns 9 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 2019 2020 2019 2020 2019 2020 $9 $10 0 8 4 Culver 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. (a) Your answer is correct. Prepare journal entries to record transactions related to compensated absences during 2019 and 2020. (If no entry is required, select "No Entry" for the account titles and enter for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit 2019 Salaries and Wages Expense 7776 Salaries and Wages Payable 7776 (To accrue the expense and liability for vacations) Salaries and Wages Expense 5184 Salaries and Wages Payable 5184 (To accrue the expense and liability for sick pay) Salaries and Wages Payable 3456 Cash 3456 (To record payment for compensated time when used by employees) 2020 Salaries and Wages Expense 8640 Salaries and Wages Payable 8640 100 (To accrue the expense and liability for vacations) Salaries and Wages Expense 5760 Salaries and Wages Payable 5760 (To accrue the expense and liability for sick pay) Salaries and Wages Expense 768 Salaries and Wages Payable 6912 Cash 7680 (To record vacation time paid) 1. TO! Salaries and Wages Expense 192 Salaries and Wages Payable 4608 Cash 4800 (To record sick leave paid) Question 1 of 2 > 31.25 / 50 (To record sick leave paid) e Textbook and Media List of Accounts Attempts: 2 of 3 used (b) Your answer is partially correct. 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 7776 $ Sick Pay Wages Payable $ $ e Textbook and Media Assistance Used List of Accounts Attempts: 2 of 3 used Submit Answer Save for Later Last saved 19 seconds ago Saved work will be auto-submitted on the due date. Auto- submission can take up to 10 minutes