Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Question 17 0.5 pts Sparky Corporation has an employee benefit plan for compensated absences that gives each employee 15 paid vacation days per year.
Question 17 0.5 pts Sparky Corporation has an employee benefit plan for compensated absences that gives each employee 15 paid vacation days per year. Vacation days can be carried over indefinitely. Employees can elect to receive payment in lieu of vacation days. At December 31, 2020, Sparky determined that there were 200 total vacation days earned but not taken as of year end. Of these 200 days, 166 days had been earned in 2020, and the remainder had been carried over from 2019. Sparky's employees earned an average wage rate of $15 per hour in 2019 and $17.50 per hour in 2020. Each employee works 8 hours per day. In its December 31, 2020 balance sheet, what amount of liability for compensated absences is Sparky required to report? *round your final answer to the nearest $1 28,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started