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(15) Question 2 - Sharp's Contracting Ltd. (SCL) operates on a calendar-year basis with a year-end of December 315', 2018. In December. the following events
(15) Question 2 - Sharp's Contracting Ltd. (SCL) operates on a calendar-year basis with a year-end of December 315', 2018. In December. the following events occurred. Prepare the journal entry to record the transaction for each event in the space provided. a) SCL Purchased a new computer system on account at a cost of 3328.000, payable on January 15"\". 2019. In addition to the original cost, $4,000 was paid in cash to customize the system to meet the company's requirements. c) By December 315'. 2018, the company had provided services for $14,000 of the service revenue that was received in advance from customers. d) At the end of December, the last payroll deposited was for days worked up to and including December 28'\". The final three days of the month will be paid on January 4'\". SCL's wage expenses are $2,000 per day (ignore deductions for Income Tax. CPP and El). d) The company's products are sold with a two-year warranty. SCL estimates its warranty expense for the year (not previously recorded) as $16,000
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