During July, Audio City sold 200 radios for $50 each. Each radio had cost Audio City $30 to purchase and carried a two-year warranty. If 5 percent typically need to be replaced over the warranty period and one actually is replaced during July, the entry to record the Product Warranty Expense is:
a. Product Warranty Expense 30
Estimated Product Warranty Liability 30
b. Product Warranty Expense 150
Cash 150
c. Product Warranty Expense 300
Estimated Product Warranty Liability 300
d. Estimated Product Warranty Liability 600
Product Warranty Expense 600
C
You might also like to view...
The acquisition of a computer for $1,200, with a down payment of $200 cash and the signing of a $1,000 note payable for the balance increases both assets and ____________________
Fill in the blank(s) with correct word
The degree to which a screen accurately represents the construct or criterion it was designed to measure
a. Quality b. Validity c. Error d. Generalizability
Alvero tries to make a $75 withdrawal from an ATM, but the terminal has run out of cash. The bank is liable to Alvero for damages proximately caused by its failure to make the EFT
a. True b. False Indicate whether the statement is true or false
A random sample of 100 credit sales in a department store showed an average sale of $120.00. From past data, it is known that the standard deviation of the population is $40.00. a.Determine the standard error of the mean.b.With a .95 probability, determine the margin of error.c.What is the 95% confidence interval of the population mean?
What will be an ideal response?