QUESTION 2 1 pints Let us assume that Rose Ltd has three employees for the period ended 31 December 2021. According to their particular employment award, long service leave (USL) can be taken after 15 years, at which time the employee is entitled to 13 weeks' leave (4.333 days per year entitlement). Further, we will assume that, after 10 years, pro rata payment is allowed so that if employees leave after serving 10 years they will be entitled to a cash payment in relation to their pro rata entitlement to long-service leave (that is, the period between 10 and 15 years is considered to be the 'conditional period) The number of employees of Rose Ltd, their current salaries and their years of service are provided in the table below. Employee Raj Mehir Malika Current salaries Years of service Years until LSL vests Probability that LSL will vest $100,000 $120,000 3 7 20% $160,000 6 12 35% 100% 4 0 Assume that such bonds exist with periods to maturity exactly matching the various periods that must still be served by the employees before long-service leave entitlements vest with them. High-quality corporate bonds periods to maturity Bond rate (%) 7 4 8.0 6.5 The balance in the provision for long service leave at the beginning of the period is $44.600 CR. The projected inflation rate for the foreseeable future is 3 per cent and that wage increases will merely keep pace with inflation. REQUIRED 1. Calculate the long-service leave liabilities for Rose Ltd for period ended 31 December 2021. Please show all your calculations. (6 marks) 2. Provide the accounting journal entry to record long-service leave for the period ended 31 December 2021. (1 marks) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). Click Save and Submit to save and submit. Click Save All Answers to save all answers. Type here to search Save Nl Aswers Save and Su EN 12C Sunny ENG ASUS