Akine Co. sold $600,000 of equipment during April under a one-year warranty. The cost to repair defects

Question:

Akine Co. sold $600,000 of equipment during April under a one-year warranty. The cost to repair defects under the warranty is estimated at 6% of the sales price. On August 4, a customer required a $140 part replacement, plus $80 of labor under the warranty. Provide the journal entry for

(a) The estimated warranty expense on April 30 and

(b) The August 4 warranty work.