Homework Help is Here – Start Your Trial Now!
Business
Accounting
Bridgeport Limited began operations on January 2, 2022. Bridgeport employs 15 individuals who work eight-hour days and are paid hourly. Each employee earns 12 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: Actual Hourly Vacation Days Used Wage Rate by Each Employee 2022 2023 $23 $24 2022 0 2023 11 Sick Days Used by Each Employee 2022 4 2023 5 Bridgeport has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when they are earned and to accrue sick pay when it is earned. For the purpose of this question, ignore any tax, CPP, and El deductions when making payments to the employees.

Bridgeport Limited began operations on January 2, 2022. Bridgeport employs 15 individuals who work eight-hour days and are paid hourly. Each employee earns 12 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: Actual Hourly Vacation Days Used Wage Rate by Each Employee 2022 2023 $23 $24 2022 0 2023 11 Sick Days Used by Each Employee 2022 4 2023 5 Bridgeport has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when they are earned and to accrue sick pay when it is earned. For the purpose of this question, ignore any tax, CPP, and El deductions when making payments to the employees.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Do not give answer in image 

Bridgeport Limited began operations on January 2, 2022. Bridgeport employs 15 individuals who work eight-hour days and are paid hourly. Each employee earns 12 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: Actual Hourly Wage Rate 2022 2023 $23 $24 Vacation Days Used by Each Employee 2022 0 2023 11 Sick Days Used by Each Employee 2022 4 2023 5 Bridgeport has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when they are earned and to accrue sick pay when it is earned. For the purpose of this question, ignore any tax, CPP, and El deductions when making payments to the employees.
Transcribed Image Text:Bridgeport Limited began operations on January 2, 2022. Bridgeport employs 15 individuals who work eight-hour days and are paid hourly. Each employee earns 12 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: Actual Hourly Wage Rate 2022 2023 $23 $24 Vacation Days Used by Each Employee 2022 0 2023 11 Sick Days Used by Each Employee 2022 4 2023 5 Bridgeport has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when they are earned and to accrue sick pay when it is earned. For the purpose of this question, ignore any tax, CPP, and El deductions when making payments to the employees.
Prepare the journal entries to record the transactions related to sick days during 2022 and 2023. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.) Date 2022 2023 2023 v 2023 Account Titles and Explanation Salaries and Wages Expense Sick Pay Wages Payable Sick Pay Wages Payable Cash (To record payment for compensated time) (To accrue the expense and liability for sick days) Salaries and Wages Expense Sick Pay Wages Payable Debit 16560 11040 17280 14640 17040 Credit 1656 1104 1728
Transcribed Image Text:Prepare the journal entries to record the transactions related to sick days during 2022 and 2023. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.) Date 2022 2023 2023 v 2023 Account Titles and Explanation Salaries and Wages Expense Sick Pay Wages Payable Sick Pay Wages Payable Cash (To record payment for compensated time) (To accrue the expense and liability for sick days) Salaries and Wages Expense Sick Pay Wages Payable Debit 16560 11040 17280 14640 17040 Credit 1656 1104 1728
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Payroll register
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS