At the end of April, ABC company had a balance of $37,910 in vacations benefits payable account. During May, employers earned an additional $2,790 in vacation benefits, but some employee used vacation days amounting to $2,050 of vacation benefits.. The $2,050 was charged to Wage Expense when it was paid in May. What adjusting entry would ABC company make at the end of May to bring the vacation benefits payable account up to date. Here is the answer I have but not sure if it is correct. Vacation Benefits Expense 38,650 Vacation Benefits Payable 38,650 Thanks in advance.
At the end of April, ABC company had a balance of $37,910 in vacations benefits payable account. During May, employers earned an additional $2,790 in vacation benefits, but some employee used vacation days amounting to $2,050 of vacation benefits.. The $2,050 was charged to Wage Expense when it was paid in May. What adjusting entry would ABC company make at the end of May to bring the vacation benefits payable account up to date. Here is the answer I have but not sure if it is correct. Vacation Benefits Expense 38,650 Vacation Benefits Payable 38,650 Thanks in advance.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter9: Current Liabilities And Contingent Obligations
Section: Chapter Questions
Problem 4RE
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At the end of April, ABC company had a balance of $37,910 in vacations benefits payable account. During May, employers earned an additional $2,790 in vacation benefits, but some employee used vacation days amounting to $2,050 of vacation benefits.. The $2,050 was charged to Wage Expense when it was paid in May. What adjusting entry would ABC company make at the end of May to bring the vacation benefits payable account up to date.
Here is the answer I have but not sure if it is correct.
Vacation Benefits Expense 38,650
Vacation Benefits Payable 38,650
Thanks in advance.
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