Analyzing and Determining the Amount of a
Liability
For each of the following situations, indicate the liability
amount, if any, which is reported on the balance sheet of Hirst,
Inc., at December 31, 2018.
a. Hirst owes $110,000 at year-end 2018 for its inventory
purchases.
b. Hirst agreed to purchase a $28,000 drill press in January
2019.
c. During November and December of 2018, Hirst sold products to
a firm with a 90-day warranty
against product failure. Estimated 2019 costs...