8 Rogers sells equipment which comes with no warranty. However, customers can purchase a two year warranty separately for 10% of the selling price. In 2012 Rogers sold $900,000 of equipment and one-third of the customers purchased the warranty. Rogers estimates the cost to service the warranties = 5,100 During 2012, Rogers incurred warranty costs = 2.550 Using the revenue method, on ending balance sheet for 2012 Rogers should record: a)Warranty liability of 5.100.00 b)Warranty liability of 2.550.00 c) Unearned warranty revenue of 30,000.00 d) Unearned warranty revenue of 15,000.00 9 2 3 4 5 6 -7 8 9 0 1 2 3 4 5 6 -7 8 9 0 1 2 3 4 5 6 7 8 9 The inventory costing method that can be used only for goods that are not ordinarily interchangeable is the: a) weighted average cost method b) FIFO method. c) specific identification method d) LIFO method. 10 Brighton Inc. reported the following amounts: Cash in bank 24.140.00 Cash on hand 10,000.00 Postdated cheques 4,000.00 Certificates of deposit 14,790.00 How much should be reported as cash in the statement of financial position? a) 24.140 b) 34 140 c) 38,140 d) 48,930