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1 Required information The following information applies to the questions displayed below ) On October 2 9 , Lobp Company began operations by purchasing razors
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The following information applies to the questions displayed below
On October Lobp Company began operations by purchasing razors for resale. The razors have a day warranty. When a razor is returned, the company discards it and mails a new one from Merchandise Inventory to the customer. The company's cost per hew razor is $ and its retail selling price is $ The company expects warranty costs to equal of dollar sales. The following transactions occurred
November Sold razors for $ cash.
November Recognized warronty expense related to November sales with an adjusting entry.
December' Reploced razors that were returned under the warranty.
December Sold razors for $ cash.
December Replaced razors that were returned under the warranty.
Decenber Reoghized warranty expense related to Decenber sales with an adjusting entry.
January Sold razors for $ cash.
January Replaced razors that were returned under the warranty.
January Recognized warranty expense reloted to january sales with an adjusting entry.
How much warranty expense is reported for January?
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