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Flint Limited began operations on January 2, 2019. The company employs 8 individuals who work 8-hour days and are paid hourly. Each employee earns
Flint Limited began operations on January 2, 2019. The company employs 8 individuals who work 8-hour days and are paid hourly. Each employee earns 10 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 $20 $21 0 7 3 4 Flint Limited has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when they are earned and to accrue sick pay when it is earned. For the purpose of this question, ignore any tax, CPP, and El deductions when making payments to the employees. Prepare the journal entries to record the transactions related to vacation entitlement during 2019 and 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation 2019 Debit Credit 2020 (To accrue the vacation pay entitlement earned by the employees) 2020 (To accrue the vacation pay entitlement earned by the employees) (To record payment for vacation time) eTextbook and Media
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