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Stellar Company began operations on January 2, 2025. It employs 8 individuals who work 8-hour days and are paid hourly. Each employee earns 10 paid

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Stellar Company began operations on January 2, 2025. It 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. Stellar Company has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when eamed and to acerue sick pay when earned (a) Prepare journal entries to record trathactions related to compensated absences during 2025 and 2026 . (If no entry is required, select "No Entry" for the account tities and enter of for the amounts. Credit occount titles ore outemoticolly indented when amount is entered. Do not indent manually. List all debit entries before credit entries) 2025 Solaries and Wages Expense Solaries and Wages Payable (To accrue the expense and liability for vacations) Solaries and Woges Expense Salaries and Wages Payable (To accrue the expense and liablily for sick poy) Salaries and Wages Payable Cash (To record payment for compensated time when used by employees) 2026 Salaries and Woges Expense Salaries and Wages Payable (To accrue the expense and liability for vacations) Salaries and Wages Expense. (Io accrue the expense and liability tor vacations) Salaries and Waser Expense Salaries and Wages Payable (To accrue the expense and liability for sick pay) Salaries and Wages Expense Salaries and Wagos Payable Cash (To record vacation time paid) Salaries and Wages Expense Salaries and Wages Pavable Cash (To record sick leave paid)

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