Question & Answer: Carpenter Ltd has 6 employees, who are each paid $750 per week for a 5 day working week. Each employee is entit…..

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Carpenter Ltd has 6 employees, who are each paid $750 per week for a 5 day working week. Each employee is entitled to 8 days accumulating non-vesting sick leave per year. At 1 July 2013 the accumulated untaken leave was 14 days in total. During the year ended 30 June 2014 a total of 50 days sick leave was taken, of which 12 days were unpaid leave. Of the accumulated untaken leave at 30 June 2014 it is estimated that 75% of it will be taken during the following year. The balance of the provision for sick leave at 30 June 2014 is: a) $1350. b) $3600. c) $2700. d) Nil, as the leave is non-vesting. Answer: