Unit 6 Assignment David Schlosser

E16-1
2008
Expense and liability for vacations:

Salaries and Wages Expense 7200 Salaries and Wages Payable 7200

Expense and liability for sick days: Salaries and Wages Expense 4320 Salaries and Wages Payable 4320

Record sick leave taken by employees:

Salaries and Wages Payable 2880 Cash 2880

2009 Expense and liability for vacations:

Salaries and Wages Expense 7920 Salaries and Wages Payable 7920

Expense and liability for sick days:

Salaries and Wages Expense 4752 Salaries and Wages Payable 4752

Record vacation days taken:

Salaries and Wages Expense 648 Salaries and Wages Payable 6480 Cash 7128

Record sick leave taken by employees:

Salaries and Wages Expense 144 Salaries and Wages Payable 3816 Cash 3960
b) 2012 2013 Vacation Pay Vacation Pay
Jan 1 balance 0 7200
+Accrued 7200 7920
-paid 0 -6480
Dec 31 balance 7200 8640

Sick Pay Sick Pay
Jan 1 balance 0 1440
+accrued 4320 4752
-paid -2880 -3816
Dec 31 balance 1440 2376

E16-12
Doreen Corp.
Pension Worksheet—2008
General Journal Entries Memo Record
Items APE Cash Accrued Cost PBO Plan Assets Unrecognized Prior
Balance, 1/1/08 13,800 Cr. 560,000 Cr. 546,200 Dr.
(a) Prior service cost 100,000 Cr. 100,000 Dr.
New balance 1/1/08 13,800 Cr. 660,000 Cr. 546,200 Dr. 100,000 Dr.
(b) Service cost 58,000 Dr. 58,000 Cr.
(c) Interest cost 59,400 Dr. 59,400 Cr.
(d) Actual return 52,280 Cr. 52,280 Dr.
(e) Amort. of PSC 17,000 Dr. 17,000 Cr.
(f) Contributions 55,000 Cr. 55,000 Dr.
(g) Benefits 40,000 Dr. 40,000 Cr.
JE 12/31 82,120 Dr. 55,000 Cr. 27,120 Cr.
Balance, 12/31/08 40,920 Cr. 737,400 Cr. 613,480 Dr. 83,000 Dr.

E17-2
(a) To Delaney, the lessee, this lease is a capital lease because the terms satisfy the following criteria:
The lease term is greater than 75% of the economic life of the leased