A company sells computers at a selling price of 1800 each

Assignment Help Accounting Basics

Reference no: EM13596701

A company sells computers at a selling price of $1,800 each. Each computer has a 2-year warranty that covers replacement of defective parts. It is estimated that 2% of all computers sold will be returned under the warranty at an average cost of $150 each. During November, the company sold 30,000 computers, and 400 computers were serviced under the warranty during November at a total cost of $55,000. The balance in the Estimated Warranty Liability account at November 1 was $29,000. What is the company's warranty expense for the month of November?

Reference no: EM13596701

Questions Cloud

Mueller corp manufactures compact discs that sell for 500 : mueller corp. manufactures compact discs that sell for 5.00. fixed costs are 28000 and variable costs are 3.60 per

A manufacturing company uses a job order cost accounting : a manufacturing company uses a job order cost accounting system. overhead is applied using pounds of direct materials

The filtering department started the current month with : the filtering department started the current month with beginning goods in process inventory of 55000. during the month

What are the steps to prepare a cash flow summary analysis : what are the steps to prepare a cash flow summary analysis using a consolidated statement of cash flows? how do you

A company sells computers at a selling price of 1800 each : a company sells computers at a selling price of 1800 each. each computer has a 2-year warranty that covers replacement

Discuss how the pressure to perform on wall street : 1. discuss the nature of accounting misstatements and the implication of each t fair presentation of the financial

A firm with a 13 wacc is evaluating two projects for this : a firm with a 13 wacc is evaluating two projects for this years capital budget. after-tax cash flows including

The lease stipulated annual payments of 40000 starting at : on january 2 2004 grant inc. signed a 10 year non-cancelable lease for a heavy drill press. the lease stipulated annual

Jodie company leased equipment from kim company on july 1 : jodie company leased equipment from kim company on july 1 2004 for an eight-year period expiring june 30 2012. equal

User Account

All Pages