1.Cell My Way Inc. previously accrued a product warranty expense of $144,000 for defective units. The balance in the Warranty Liability Account currently has a balance of $140,000. Cell My Way Inc.'s warranty covers both parts and service. Which of the following journal entry is recorded each time a unit is brought in for repair (considering parts only)?

Dr. Estimated Liability for Product Warranty. Cr. Product Warranty Expense

None of the other alternatives are correct

Dr. Estimated Liability for Product Warranty. Cr. Labour

Dr. Estimated Liability for Product Warranty. Cr. Supplies

Dr. Estimated Liability for Product Warranty. Cr. Purchases

5.Cell My Way Inc. previously accrued a product warranty expense of $144,000 for defective units. The balance in the Warranty Liability Account currently has a balance of $140,000. Cell My Way Inc.'s warranty covers both parts and service. Which of the following journal entry is recorded each time a unit is brought in for repair (considering parts only)?

Dr. Estimated Liability for Product Warranty. Cr. Product Warranty Expense

None of the other alternatives are correct

Dr. Estimated Liability for Product Warranty. Cr. Purchases

Dr. Estimated Liability for Product Warranty. Cr. Labour

Dr. Estimated Liability for Product Warranty. Cr. Supplies

9Which of the following statements is true:

- Straight line interest method on bonds gives a higher interest in the first year than effective interest if bonds are issued at a discount;

- When bonds are issued for more than par, straight line interest method gives higher interest expense in the last year than using effective interest rate;

- Straight line interest yields a constant interest expense but a changing interest rate.

I) and II) are true but III) is false

I) and III) are true but II) is false

I) is true but II) and III) are false

All of the above are false

All of the above are true