Business, 19.10.2021 01:20 gooden839

Hardin Widget Manufacturing began operations in January 2021. Hardin sells widgets that carry a two-year manufacturer's warranty against defects in workmanship. Hardin's management projects that 2% of the widgets will require repair during the first year of the warranty while approximately 6% will require repair during the second year of the warranty. The widgets sell for $400 each. The average cost to repair a widget is $50. The company sells 60% of the widgets to retail customers who must pay a 6% sales tax. Sales and warranty information for 2021 and 2022 are as follows: 2021: Sold 130 widgets on account, incurred warranty expenditures of $230 for widget repairs.
2022: Sold 230 widgets on account, actual payments for warranty expenditures were $430.

Required:
a. Prepare journal entries that summarize the sales and any aspects of the warranty for 2021.
b. Prepare journal entries that summarize the sales and any aspects of the warranty for 2022.

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 05:00

At which stage would you introduce your product to the market at large? a. development stage b. market testing stage c. commercialization stage d. ideation stage

Answers: 3

Answer

Business, 22.06.2019 17:30

Fabian got into an accident on his way to work. he had multiple fractures in his leg. his doctor advised strict bed rest for at least three months.fabian is a freelance wildlife photographer who usually works on a contract basis, and this is his primary source of income. before the accident, fabian was planning his finances. which goal of his financial plan would fabian in getting through without pay for the next three months? the goal that requires the creation of a/an would fabian get through the next three months without pay.

Answers: 1

Answer

Business, 23.06.2019 00:00

Both renewable and nonrenewable resources are used within our society. how do the uses of nonrenewable resources compare to the uses of renewable resources?

Answers: 1

Answer

Business, 23.06.2019 01:00

Corporation had a japanese yen receivable resulting from exports to japan and a brazilian real payable resulting from imports from brazil. gracie recorded foreign exchange gains related to both its yen receivable and real payable. did the foreign currencies increase or decrease in dollar value from the date of the transaction to the settlement date?

Answers: 2

Answer

You know the right answer?

Hardin Widget Manufacturing began operations in January 2021. Hardin sells widgets that carry a two-...

Questions