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Question - Denise Bunch is the sales manager for a tractor supply company. She earns an annual bonus based on sales minus related warranty expenses. Actual warranty expenses have varied over the past 15 years from a low of 2% of sales to a high of 10%. In the past, Bunch has recommended an estimate on the high side of the range in order to be conservative.
Required -
1. Does the warranty accrual recommendation create an ethical dilemma for Bunch? If so, explain why.
2. What percent would you recommend if you were Bunch?
Calculate the amount of the interest expense for each option. Determine the proceeds received by the borrower in each situation. Which alternative is more favorable to the borrower? Explain.
ACC102 ACCOUNTING - What are the major liabilities of JB Hi-Fi Limited at the end of the financial year and Determine whether any of the non-current liabilities
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On 1 November 2015 the directors issued 1000 each of 10% Preference shares at $100 each. Record the above transactions in the appropriate journals
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