User Account

All Pages

What is the balance in estimated warranty payable

Assignment Help Accounting Basics
Reference no: EM132000670

Question - Journalizing liability transactions

The following transactions of Brooks Garrett occurred during 2014:

Apr. 30 Garrett is party to a patent infringement lawsuit of $200,000. Garrett's attorney is certain it is remote that Garrett will lose this lawsuit.

Jun. 30 Estimated warranty expense at 2% of sales of $400,000.

Jul. 28 Warranty claims paid in the amount of $6,000.

Sep. 30 Garrett is party to a lawsuit for copyright violation of $100,000. Garrett's attorney advises that it is probable Garrett will lose this lawsuit. The attorney estimates the loss at $100,000.

Dec. 31 Garrett estimates warranty expense on sales for the second half of the year of $500,000 at 2%.

Requirements -

1. Journalize required transactions, if any, in Garrett's general journal. Explanations are not required.

2. What is the balance in Estimated Warranty Payable?

Reference no: EM132000670

Questions Cloud

Prepare and describe each incorrect assumption and statement : Prepare and describe each incorrect assumption, statement and/are inappropriate application in the above procedures
Record the preceding transactions in general journal form : The allowance for uncollectible receivables was increased by $1,670. Record the preceding transactions in general journal form
Calculate the internal rate of return for each product : The company's discount rate is 16%. Calculate the internal rate of return for each product and Calculate the net present value for each product
Analysis and control of a hydraulic drill machine : Study on analysis and control of a hydraulic drill machine - analyse and assess an existing conventional hydraulic drill machine
What is the balance in estimated warranty payable : Journalizing liability transactions - Jun. 30 Estimated warranty expense at 2% of sales of $400,000. What is the balance in Estimated Warranty Payable
Effectiveness of a substance use prevention program : The focus for the major essay is the effectiveness of a substance use prevention program of your choice
Prepare the journal entry to record income tax expense : Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2007
Prepare the bottom portion of kerdyk income statement : Prepare the bottom portion of Kerdyk's 2007 income statement, beginning with "Income before income taxes and extraordinary item."
Discuss the concept of simple vs complex capital structures : Discuss the concept of simple vs. complex capital structures and how it relates to the reporting of earnings per share

Reviews

Write a Review

Accounting Basics Questions & Answers

  The srane company has contacted trell with an offer to

the srane company has contacted trell with an offer to sell it 5000 wickets for 36 each. if trell makes the wickets

  Empire machinery acquired a new machine on january 1 2006

empire machinery acquired a new machine on january 1 2006 at a cost of 50000 which was estimated to have a useful life

  What net income would have been in the second year

During its first year of operations, macks plumbing supply co. had sales of 3,250,000 wrote off 27,800 of accounts as uncollectible using the direct write-off.

  What is the depreciation rate per hour for the equipment

what is the depreciation rate per hour for the equipment, If Norwood uses the units-of-production method

  Recent values for these three variables

Find the most recent values for these three variables: (1) Unemployed (UNEMPLOY), Civilian Employment (CE16OV), (2) Employment Level - Part-Time for Economic Reasons, All Industries (LNS12032194), and (3) Not in Labor Force, Searched for Work and ..

  Prepare the journal entry to record the impairment

Assume that Rohan used the double-declining balance method of depreciation, prepare the journal entry (if any) to record the impairment at December 31, 2010.

  Prepare a letter to smith manufacturings management

Prepare a letter to Smith Manufacturing's management. In the letter identify some of the concerns you may have regarding the purchase.

  What are the components of an amortization schedule for a

what are the components of an amortization schedule for a bond? what is the difference in amortization schedules

  How the recent economical trends surrounding the company

The descriptive part should be minimal, while a larger portion should be devoted to explaining how the recent economical trends and competitive landscape surrounding the company have been used in your report.

  What do the main participants stand to gain or lose

Who are the main participants. What do the main participants stand to gain or lose in this situation. What are the positive and negative impacts to the people of these participating nations/parties

  Prepare the inventory section of maddox balance sheet

Prepare the inventory section of Maddox's balance sheet as of November 30, 2012, including any required note(s)

  What is the amount of the check

Colt Company sells merchandise on account for $1,800 to James Company with credit terms of 2/10, n/30. Jones Company returns $300 of merchandise that was damaged, along with a check to settle the account within the discount period. What is the amo..

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