Question

Employees earn vacation pay at the rate of one day per month. During the month of July, 30 employees qualify for one vacation day each. Their average daily wage is $105 per day. What is the amount of vacation benefit expense to be recorded for the month of July?

Answer 1

Answer: $3150

Step-by-step explanation:

Given that,

average daily wage = $105 per day

In the month of july, 30 employees were qualify for one vacation day each.

Hence, the amount of vacation benefit expense to be recorded for the month of July as follows:

= Wage per day × Employees Qualify

= $105 × 30

= $3150

∴ The amount of vacation benefit expense to be recorded for the month of July is $3150.