9. Pet Supply Co. has a defined benefit pension plan for all employees who have worked with the company for at least fifteen years. The plan requires an annual contribution of $67,500. On December 31, 2015, the company contributes the entire cost to the fund. Prepare the journal entry to record the cost of the fund. 10. Assume that Pet Supply Co. only contributes $39,200 of the required annual contribution of $67,500 for the defined benefit pension plan. Prepare the journal entry to record the cost of the fund 11. A competitor of Surfing Sid's files a lawsuit for $32,500 against the company in 2015. By the year- end, the lawsuit has not been settled, but the lawyer believes there is a remote possibility the competitor will win. What is the correct accounting treatment for the contingent liability? 12. During March, Equipped has sales of $75,400. All products sold have a 12-month warranty for repairs. The company estimates the average cost of repairs to be 3% of the sales price, prepare the journal entry to record the warranty expense for the month of March. 13. On July 15, 2015, Equipped repairs a customer's merchandise that was purchased in March. To repair the merchandise, the company uses $50 of supplies and incurs labor charges of $75. Prepare the journal entry to record the repair of the merchandise. 14. Equipped makes total sales of Product A of $320,500 for the month of October and total sales of Product B of $100,700. Both products have a 24-month warranty. The company estimates that Product A's warranty will cost 5% of the sales price, while Product B's warranty will cost 7% of the sales price. a. Prepare the journal entry to record the Product Warranty Expense for the month. b. During the month of November, the company uses $1,400 of supplies to repair Product A and $900 of supplies to repair Product B. Prepare the journal entries to record the repairs 15. Mel Corp. has current assets of $3,550 and current liabilities of $4,220. Calculate the working capital and current ratio, rounding to two decimal places. What do these numbers indicate