2. (P13-12) INK Co has 35 employees who work 8-hour days and are paid hourly. On January 1, 2018, the company began a program of granting its employees 10 days of paid vacation each year. Vacation days earned in 2018 may first be taken on January 1, 2019. Information relative to these employees is as follows: Hourly Vacation Days Earned Vacation Days Used Year by Each Employee by Each Employee 2018 $25.80 2019 27.00 2020 28.50 Wages 10 10 10 INK has chosen to accrue the liability for compensated absences at the current rates of pay in effect when the compensated time is earned. What is the amount of vacation expense that should be reported on the income statement for 2018? a $25,000 b. $68,880 C. $72,240. d. $75,600