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Question - Sunland Company uses IFRS for its financial reporting. It produces machines that sell globally. All sales are accompanied by a one-year warranty. At the end of the year, the company has the following data:
5100 units were sold during the year.
The trend over the past five years has been that 3% of the machines were defective in some way and had to be repaired. Of this 3%, half required a full replacement at a cost of $2800 per unit and half were able to be repaired at an average cost of $280.
Required - What is the expected value of the warranty cost provision?
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roniger products company operates three divisions each with its own manufacturing plant and marketingsales force. the
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