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skyson company began operations on january 2,2025. it employs 10 individuals who work 8 hour days and are paid hourly. each employees earns 11 paid
skyson company began operations on january 2,2025. it employs 10 individuals who work 8 hour days and are paid hourly. each employees earns 11 paid days and 7 sick days annually. vacation days may be taken after january 15 of the year following the year in which they are eqrned. sick days may be taken as soon as they are earned: unused sick days accumulate. additional information is as follows. actual hourly wage rate: 2025 $11, 2026,$13. vacation days used by each employee: 2025, 0, 2026,10, sick days used by each employee 2025,5,2026,6. skyson company has chosen not accrue paid aick leave until used, and has chosen to accrue vacation time at expected future rates of paying wothiut discounting. the company used the following projected rates to accrue vacation time. year in which vacation time was earned 2025, projected future pay rates used to accure vacation pay in 2025 is $12.30. projected future pay rates used to accruevacation pay in 2026 is 13.20. compute the amounts of any liability for compensated absences that should be reported on the balance sheet as at december 2025 and 2026.
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