Zennia Company provides its employees with varying amounts of vacation per year, depending on their length of employment. The estimated amount of the current year’s vacation cost is $135,000. On December 31, the end of the current year, the current month’s accrued vacation pay is
Q: The City of Greensboro provides its employees two weeks of paid vacation per year. As of December…
A: Definition: Accrued expense: This is the expense incurred but not yet paid. It is treated as…
Q: For the year ended December 31, Lopez Company implements an employee bonus program based on company…
A: A JE (journal entry) is one of the processes in the accounting system that records the transactions…
Q: Dana Company has 25 employees who work 8-hour days and are paid hourly. On January 1, 2021, the…
A: Short term compensating absences are of two types -a) Accumulating Accumulating short-term…
Q: Bailey Corporation began business on January 2, 2019, with five employees. Its sick leave and…
A: Compensated Leaves:- These are those leave which employees take and get compensation for those…
Q: JWS Transport Company’s employees earn vacation time at the rate of 1 hour per 40-hour work period.…
A: Vacation Pay Liability Vacation pay is an accrued cost estimated for the company that is allocated…
Q: Blossom Co. began operations on January 2, 2020. It employs 13 people who work 8-hour days. Each…
A: Paid leave is the leave which is provided to employee in which the employees are eligible to get pay…
Q: Carla Company began operations on January 2, 2025. It employs 11 individuals who work 8-hour days…
A: Answer:- Compensation absence :- Compensation absence refers to the period during which an employee…
Q: Required a. Determine the net pay for employee salary expenses on December 31, Year 1.
A: After deductions from gross pay, net pay is the amount of remuneration that remains distributable to…
Q: Compute the amounts of any liability for compensated absences that should be reported on the balance…
A: 2 2019 2020 Vacation Wages Payable $3,888 $4,968 Sick Wages Payable $864 $1,512…
Q: The names of the employees of Cox Security Systems and their regular salaries are shown in the…
A: Pay the Payroll for the Pay Period Ending December 26, for each employee. Note: federal Income…
Q: Electronics Service Company pays salaries monthly on the last day of the month. The following…
A: After deductions from gross pay, net pay is the amount of remuneration that remains distributable to…
Q: Dixon Sales has six sales employees that receive weekly paychecks. Each employee earns $18.00 per…
A: Lets understand the basics.Journal entry is required to record for recording each of event and…
Q: Broderick Company began operations on January 2, 2019. It employs 9 individuals who work 8-hour days…
A: a. Following are the journal entries: Working Notes: Formulae used are shown below:
Q: Teal Company began operations on January 2, 2019. It employs 11 individuals who work 8-hour days and…
A: Salaries and wages payable are recorded in the year in which it is accrued and not when it is paid…
Q: Withdrawals's two employees are paid weekly. As of the end of the year, two days' salaries have…
A: Meaning of Accrued Salaries: Accrued salaries refers to the amount of liability remaining at the end…
Q: Teal Company began operations on January 2, 2019. It employs 11 individuals who work 8-hour days and…
A: Compensation Absence means = Absence for which employees will be paid.
Q: The monthly salaries for December and the year-to-date earnings of the employees of Bush Consulting…
A: The Social Security tax, also known as the Federal Insurance Contributions Act (FICA) tax, is a…
Q: JWS Transport Company's employees earn vacation time at the rate of 1 hour per 40-hour work period.…
A: The question is based on the concept of Financial Accounting.
Q: Sheffield Company began operations on January 2, 2019. It employs 10 individuals who work 8-hour…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: McFriend Inc. records its liabilities for employees' vacations at the end of each month. For the…
A: According to the logic of a journal entry, every business transaction should be documented in at…
Q: Wise Company began operations on January 2, 2019. It employs 9 individuals who work 8-hour days and…
A: The question is based on the concept of Financial Accounting.
Q: Gonzalez Co. accrues the liability for vacation pay at the rate of pay in effect when the…
A: Total employees =90 8 hours day 12 days paid vacation.
Q: An employer uses a final pay formula to determine retirement payouts to its employees. The annual…
A: 1) Average salary (S) = $54000 Years worked (y) = 17
Q: following for the payroll of December
A: Social Security is essentially a benefit given to older workers, the disabled as well as their…
Q: ation pay. Assuming the city maintains its books and records in a manner to facilitate the…
A: Journal entry A journal entry is a record of the business transactions within the accounting books…
Q: Larkspur Company began operations on January 2, 2019. It employs 9 individuals who work 8-hour days…
A: A journal entry is a type of accounting entry that is used to record a business transaction in a…
Q: The Cable TV Co., an accrual basis taxpayer, allows its customers to pay by the month ($10 each…
A: Lets understand the basics. In accruals basis, revenue is recorded when earned and not when it is…
Q: On January 1, 20x6, Bernie Bird Co. decided to grant its employees 10 vacation days and five sick…
A: The compensation absence expense would include the expense that was payable during current year but…
Q: Ruby Corporation is required to pay the pension cost of one of its unionized employees. According to…
A: Present value is the current value of a future sum of money or stream of cash flows given a…
Q: Here is the problem from the book: JWS Transport Company’s employees earn vacation time at the rate…
A: Vacation accumulation is the time that employees earn during their normal service period. It is…
Q: that $0.3 million will be taken at the end of next year. And $0.2 million will be deferred until…
A: Journal entries refer to the systematic documentation of the financial transactions of a company in…
Q: Chavez Co.’s salaried employees earn four weeks’ vacation per year. Chavez estimated and must…
A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…
Q: Empty fields company pays its salaried employees monthly on the last day of each month The annual…
A: Social security taxes are the tax which is deducted from the employee's salary at the time of…
Q: McFriend Inc. records its liabilities for employees’ vacations at the end of each month. McFriend…
A: INTRODUCTION: Vacation pay is the remuneration that employees receive for accrued vacation days…
Q: Lawrence Corp. has an employee benefit plan for compensated absences that gives each employee 10…
A: The amount of liability for compensated absences = Total vacation days * Average earnings of…
Q: Jon Corp. has an employee benefit plan for compensated absences that gives each employee 10 paid…
A: A liability is a legal obligation to pay other entities as a result of past transactions or other…
Q: effield Company began operations on January 2, 2019. It employs 10 individuals who work 8-hour days…
A: Journal entry A journal entry is a record of the business transactions within the accounting books…
Q: The City of Breneman allows employees to accrue 30 days of vacation leave. Employees receive the…
A: Ans. $ 40,000
Q: JWS Transport Company’s employees earn vacation time at the rate of 1 hour per 40-hour work period.…
A: Total vacations earned = (Total amount paid - vacation pay paid)*vacation time earned =…
Q: O $168000 $336000 Ο Ο Ο Ο O Ο $0 O $84000
A: Vacation liability refers to the financial obligation a company incurs for accrued but unused…
Q: An employee earns $5,500 per month working for an employer. The FICA tax rate for Social Security is…
A: Calculation of Net pay for the month of January is as follows:
Q: Rexallo Company begins business on January 2, 2019, with 15 employees. Its company policy is to…
A: Compensated expenses are the benefits for employees and represent expenses for employer which has…
Q: The employees of Lillian's Interiors are paid on a semimonthly basis. Required: Compute the FICA…
A: In computing the FICA (Federal Insurance Contributions Act) taxes for the employees of Lillian's…
Q: Bellward Company grants vacation time of two weeks to those employees who have worked for the…
A: Each employee's earnings are determined throughout the payroll process using many criteria,…
Q: Pharoah Co. began operations on January 2, 2025. It employs 17 people who work 8-hour days. Each…
A: Journal Entry - It is a record of every business transaction in day-to-day life whether it is…
Q: Waterway Company began operations on January 2, 2025. It employs 10 individuals who work 8-hour days…
A: Compensated absences refer to the accrual of employee leave benefits that will be paid out in the…
Zennia Company provides its employees with varying amounts of vacation per year, depending on their length of employment. The estimated amount of the current year’s vacation cost is $135,000. On December 31, the end of the current year, the current month’s accrued vacation pay is
![](/static/compass_v2/shared-icons/check-mark.png)
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
- A company gives each of its 50 employees (assume they were all employed continuously through 2020 and 2021) 12 days of vacation a year if they are employed at the end of the year. The vacation accumulates and may be taken starting January 1 of the next year. The employees work 8 hours per day. In 2020, they made $17.50 per hour and in 2021 they made $20 per hour. During 2021, they took an average of 9 days of vacation each. The company’s policy is to record the liability existing at the end of each year at the wage rate for that year. What amount of vacation liability would be reflected on the 2020 and 2021 balance sheets, respectively? Select one: $96,000; $117,000 $96,000; $120,000 $84,000; $120,000 $84,000; $117,000Pearl Company began operations on January 2, 2019. It employs 11 individuals who work 8-hour days and are paid hourly. Each employee earns 11 paid vacation days and 8 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 2019 $9 2020 $10 Vacation Days Used by Each Employee 2019 2020 Vacation Wages Payable $ 10 Sick Pay Wages Payable Sick Days Used by Each Employee 2019 6 Pearl Company has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when earned and to accrue sick pay when earned. 2020 Compute the amounts of any liability for compensated absences that should be reported on the balance sheet at December 31, 2019 and 2020. 2019 7 $ +A 2020JWS Transport Company’s employees earn vacation time at the rate of 1 hour per 45-hour work period. The vacation pay vests immediately (that is, an employee is entitled to the pay even if employment terminates). During 2021, total salaries paid to employees equaled $422,000, including $3,500 for vacations actually taken in 2021 but not including vacations related to 2021 that will be taken in 2022. All vacations earned before 2021 were taken before January 1, 2021. No accrual entries have been made for the vacations. No overtime premium and no bonuses were paid during the period.Required:Prepare the appropriate adjusting entry for vacations earned but not taken in 2021.
- Marie earns $557.69 weekly. The company has approved a 2% increase retroactive to January 1, 2023. 20 pay periods have been processed in the current year. Calculate Marie's gross earnings for the next pay period, including the current salary and the retroactive increase. This will be paid on one cheque.An employee earns $24 per hour and 1.5 times that rate for all hours in excess of 40 hours per week. If the employee worked 50 hours during the week. Assume that the social security tax rate is 6.0%, the Medicare tax rate is 1.5%, and the employee’s federal income tax withheld is $304. a. the gross pay for the week. b. the employee’s net pay for the week. When required round interim computations to two decimal places. Round your final answer to two decimal places.The question is based on the monthly payroll record of Division S and Agency A (see below). Refer to the following facts when answering questions. All Agency A employees are paid biweekly on the 5th (for wages earned during the payperiod of the previous month's 16 through month end) and the 20th (for wages earned during the payperiod of the 1st through 15). Overtime is paid at the rate of 1 ½ times regular salary. Monthly deductions remain the same percentage of gross earnings. For instance, an employee whose regular salary is $1000 has 10% or $100 withheld for federal taxes. If the same employee earns $200 in overtime, his federal tax deduction would be $120, or 10% of $1200. In converting monthly salaries to hourly rates, compute on the basis of 173.33 working hours in a month. Division S’s clerk has no state taxes deducted. What is his yearly take home pay? Select the single best answer: A. $13596.00 B. $14244.00C. $15156.00D. $15620.00
- An employee earns $5,750 per month working for an employer. The FICA tax rate for Social Security is 6.2% of the first $128,400 earned each calendar year and the FICA tax rate for Medicare is 1.45% of all earnings. The current FUTA tax rate is 0.6%, and the SUTA tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee's pay. The employee has $192 in tederal income taxes withheld. The employee has voluntary deductions for health insurance of $160 and contributes $80 to a retirement plan each month. What is the amount of net pay for the employee for the month of January? (Round your intermediate calculations to two decimal places.) Multiple Choice $4.87812 $4,56762Lister Company currently gives its employees their pay at the end of each week. Lister’s weekly payroll totals $500,000. If Lister extends the pay period so as to pay its employees one week later throughout an entire year, the employees would in effect be "lending" the firm how much for the year?Jean Michaud pays his two employees $900 and $1,200 per week. Assume a state unemployment tax rate of 5.7% and a federal unemployment tax rate of .6%. What state and federal unemployment taxes will Jean pay at the end of quarter 1 and quarter 2? (Use FUTA/SUTA )
- On January 1, 2021, Panda Corporation agreed to grant all its employees two weeks paid vacation each year, with the stipulation that vacations earned each year can be taken the following year. For the year ended December 31, 2021, Panda's employees each earned an average of $500 per week. A total of 1,000 vacation weeks were earned in 2021, with 400 vacation weeks earned in 2021 but not taken during 2021. In its December 31, 2021, balance sheet, what amount of liability for compensated absences is Panda required to report? $500,000. $200,000. $0. $300,000.Stellar Company began operations on January 2, 2019. It employs 10 individuals who work 8- hour days and are paid hourly. Each employee earns 11 paid vacation days and 7 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 2019 $9 (a) 2020 $10 2020 Vacation Days Used by Each Employee 2019 0 2020 Salaries and Wages Expense 10 Salaries and Wages Payable. Stellar Company has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when earned and to accrue sick pay when earned. Sick Days Used by Each Employee 2020 2019 Prepare journal entries to record transactions related to compensated absences during 2019 and 2020. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are…Pronghorn Company began operations on January 2, 2025. It employs 12 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. Actual Hourly Sick Days Used by Each Employee Vacation Days Used Wage Rate by Each Employee 2025 2026 2025 2026 2025 2026 $6 $7 0 9 5 Pronghorn Company has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when earned and to accrue sick pay when earned. Prepare journal entries to record transactions related to compensated absences during 2025 and 2026. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent…
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)