Use the following information for questions 110 and 111.
Vanco Company has 35 employees who work 8-hour days and are paid hourly. On January 1, 2013, the company began a program of granting its employees 10 days of paid vacation each year. Vacation days earned in 2013 may first be taken on January 1, 2014. Information relative to these employees is as follows: Vanco 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 expense relative to compensated absences that should be reported on Vanco's income statement for 2013?
A) $0.
B) $71,400.
C) $63,000.
D) $57,400.

Question

Use the following information for questions 110 and 111.
Vanco Company has 35 employees who work 8-hour days and are paid hourly. On January 1, 2013, the company began a program of granting its employees 10 days of paid vacation each year. Vacation days earned in 2013 may first be taken on January 1, 2014. Information relative to these employees is as follows:  Vanco 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 expense relative to compensated absences that should be reported on Vanco's income statement for 2013?
A) $0. 
B) $71,400. 
C) $63,000. 
D) $57,400.

Quizplus · Accepted Answer

The Answer of Use the following information for questions 110 and 111.
Vanco Company has 35 employees who work 8-hour days and are paid hourly. On January 1, 2013, the company began a program of granting its employees 10 days of paid vacation each year. Vacation days earned in 2013 may first be taken on January 1, 2014. Information relative to these employees is as follows:  Vanco 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 expense relative to compensated absences that should be reported on Vanco's income statement for 2013?
A) $0. 
B) $71,400. 
C) $63,000. 
D) $57,400.

Use the Following Information for Questions 110 and 111