Question 1 Jumbo Sales Corporation offers warranties on all their electronic goods. Warranty expense is estimated...

Question 1 Jumbo Sales Corporation offers warranties on all their electronic goods. Warranty expense is estimated at 3% of sales revenue. In 2013, the company had $595,000 of sales. In the same year, it paid out $8,500 of warranty payments. Prepare the journal entry for the warranty expense and the warranty payments.

Question 2 On January 1, 2014, Partridge Advertising Company issued $50,000 of 6-year bonds with a stated rate of 3%. The market rate at time of issue was 4%, so the bonds were discounted and sold for $47,356. Partridge uses the effective-interest method of amortization for bond discount. Semiannual interest payments are made on June 30 and December 31 of each year. Prepare the amortization table for the first four interest payments. (Round your answers to nearest dollar number.)

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ekkarill92 answered 2 years ago

Warranties Focus plc offers a twelve month warranty on certain goods that it sells. The warranty...

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QUESTION 1 Concerning accounting for warranties, which of the following statements is true? The expense warranty...

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Cost of goods sold $223,110 Salaries and wages expense $55,720 Delivery expense 6,320 Sales discounts 7,320...

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