Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 16 Aug 2017 My Price 5.00

Funz Corporation

Vacation pay Liability

e6A. Funz Corporation gives three weeks’ paid vacation to each employee who has worked at the company for one year. Based on studies of employee turnover and previ- ous experience, management estimates that 65 percent of the employees will qualify for vacation pay this year.

1.    Assume that Funz’s July payroll is $300,000, of which $20,000 is paid to employees on vacation. Figure the estimated employee vacation benefit for the month. (Round to the nearest thousandth.)

2.    Prepare a journal entry to record the employee benefit for July.

3.    Prepare a journal entry to record the pay to employees on vacation.

Answers

Maurice Tutor
(5)
Status NEW Posted 16 Aug 2017 10:08 PM My Price 5.00

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