sunset, inc. has a policy of accruing $2,200 for every employee as a vacation benefit. sarah, an employee, took a vacation. which of the following is the correct journal entry for the vacation benefit paid? o a. vacation benefits payable ob. vacation benefits expense 1,900 cash 1,900 1,900 cash 1,900 c. vacation benefits expense 1,583 vacation benefits payable 1,583 o d. vacation benefits payable 1,583 vacation benefits expense 1,583

Explanation:

The correct journal entry is shown below:

Vacation benefits payable Dr A/c $2,200

               To Cash A/c $2,200

(Being vacation benefit is paid for cash)

Before passing this entry, another entry is passed which is shown below:

Vacation benefit expense A/c Dr

          To Vacation benefits payable A/c

(Being expense is recorded)

Since we have to record the entry for vacation benefit paid. So, we credited the cash account and debited the  Vacation benefits payable account

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