User Account

All Pages

Record journal entries on december for additional warranty

Assignment Help Financial Accounting
Reference no: EM132873129

Question 1: In the January 2020, ZEN, Inc. made their largest sale ever. The new client ABS, Inc. purchased 3000 widgets from ZEN. As a part of contract ZEN offered new client an additional warranty covering 3 years. ABS purchased the warranty for all its new widgets for $100 per widget. Based on past experience, ZEN, Inc. estimated that it will spend a total of $100,000 honoring the warranty of these units. By the end of 2020 the company has spent $20,000. Sale of widgets was recorded but accounting department needs to record journal entries on December 31, 2020 for additional warranty.

Reference no: EM132873129

Questions Cloud

Calculate taxable income and income tax payable : Non-deductible fines appear as an expense of $13,200 on the income statement. Calculate taxable income and income tax payable for 2020
Various forms of worker participation : Western Europe seems to be uniquely involved with various forms of worker participation. Explain why these worker participation systems have developed so fully
Create work breakdown structure : Create a Work Breakdown Structure (WBS), and assign resources and cost by using a project management tool.
Comprehensive set of hr policies : Do you think it is better for an organization to have a comprehensive set of HR policies or to have as few HR policies as possible? Why?
Record journal entries on december for additional warranty : Sale of widgets was recorded but accounting department needs to record journal entries on December 31, 2020 for additional warranty.
What is the difference between regulations and compliance : What is the difference between regulations and compliance?
Summarize the negative consequences of trade liberalization : 1. With reference to international trade, summarize the negative consequences of trade liberalization in developing countries
Explain how through use management information systems : Explain how through the use management information systems, her competitors are lowering costs and improving profit margins through increasing efficiency.
What the discount rate for project cash flows should be : If the company is evaluating a new investment project that has the same risk as the firm's typical project, the discount rate for project's cash flows should be

Reviews

Write a Review

Financial Accounting Questions & Answers

  Explain vky cosmetics companys mean of competitive advantage

ACCT2119- Using the information contained in the case, outline and explain VKY Cosmetics Company's Means of Competitive Advantage, Business Mission and Identify 3 Key Success Factors (KSFs) and justify.

  What steps take to assess riskiness of expected cash flows

As the manager of a healthcare facility, what steps could you take to assess and minimize the riskiness of expected cash flows in capital budgeting analysis?

  Problem regarding the expected returns of portfolio

1. You own a portfolio invested 12.35% in Stock A, 12.21% in Stock B, 12.87% in Stock C, and the remainder in Stock D. The betas of these four stocks are 1.49, 0.74, 0.58, and 1.45. What is the portfolio beta?

  Find the price par value bond

Find the price of a $5000 par value bond that matures in 10 years with an annual coupon rate of 2%. The interest rate on investments is 3% annually

  What the company inventory increased by

As a result of these events, the company's inventory increased by? Received goods for $64000, terms 2/10, n/30. Returned $1000 of the shipment for credit.

  Find the total of account in bad debts expense

Find the total of account in bad debts expense and What's the amount of the adjuster

  What amount should be reported as accounts payable

What amount should be reported as accounts payable on December 31, 2020? An entity reported accounts payable of P4,000,000 on December 31, 2020

  Management of indiana corporation

The management of Indiana Corporation is considering the purchase of a new machine costing $400,000

  What new asset turnover along with profit margin

What new asset turnover along with the 20% profit margin is required? Cheesy pineapple inc. has a total assets turnover of .40

  The bond discount by the effective interest method

On December 31, Year 1, Vaughan, Inc., issued $200,000, 8% serial bonds, to be repaid in the amount of $40,000 each year. Interest is payable annually on December 31. The bonds were issued to yield 10% per year. Vaughan amortizes the bond discount by..

  Prepare a process cost summary

Prepare journal entries to record the July transactions and events - Purchased raw materials for $125,000 cash - prepare a process cost summary,

  What is the present value of the five payments

The present value of an annuity (series of payments) for 5 periods at 6% is 4.2124. What is the present value of these five payments?

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