User Account

All Pages

Does this situation represent a contingent liability

Assignment Help Financial Accounting
Reference no: EM132982569

Problem - A company restores and resells notebook computers. It originally acquires the notebook computers from corporations upgrading their computer systems, and it backs each notebook it sells with a 90-day warranty against defects. Based on previous experience, the company expects warranty costs to be approximately 4% of sales. Sales for the month of December are $520,000. Actual warranty expenditures in January of the following year were $19,000. Does this situation represent a contingent liability?

Reference no: EM132982569

Questions Cloud

Find the total amount of interest accrue for loan : Huai takes out a $ 3200 student loan at 6.2% to help him with 2 years of community college. Find the total amount of interest accrue for Loan
Developing a quality staffing plan : Staffing Challenges in a Labor Shortage Market focus on talent acquisition and walk through a scenario on sourcing, recruitment, and selection in a labor market
Client rights and counselor responsibilities : Identify ways you will go about decreasing the chances of getting involved in a malpractice suit. Focus on your attitudes and actions that are likely to prevent
Explain sustainable development : What are the obstacles (besides money) for better management of natural resources by the federal and state governments?
Does this situation represent a contingent liability : Actual warranty expenditures in January of the following year were $19,000. Does this situation represent a contingent liability
Maintain professional currency : What are two ways that a person could participate with industry groups to maintain professional currency?
What is employee relations : 1. What is "Employee Relations"? 2. How can Employee Relations affect an organization's effectiveness ... both positively and negatively?
What effect would the purchase of the new machine : What effect would the purchase of the new machine have on mueller's break- even point in units and if the company expects a profit of $20,000
What position in the futures contracts should they take : A company has a portfolio of stocks worth £10 million. What position in the futures contracts should they take and how many contracts are needed

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd