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Crane Company sold 15,000 Super Spreaders on July 1, 2020, at a total price of $2,050,000, with a warranty guarantee that the product was free of any defects. The cost of the spreaders sold is $780,000. The assurance warranties extend for a two-year period and are estimated to cost $47,500. Crane also sold extended warranties (service-type warranties) related to 2,500 spreaders for two years beyond the two-year period for $10,500.
Problem 1: Make the journal entries that Crane should make in 2020 related to the sale and the related warranties.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
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