Question
A company offers a cash rebate of $2 on each $6 package of batteries sold during 2021. Historically,10% of customers mail in the rebate form.
A company offers a cash rebate of $2 on each $6 package of batteries sold during 2021. Historically,10% of customers mail in the rebate form. During 2021,5300000packages of batteries are sold, and171000$2 rebates are mailed to customers. What is the rebate expense and liability, respectively, shown on the 2021 financial statements dated December 31?
$1060000; $718000
$718000; $718000
$342000; $718000
$1060000; $1060000
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International Accounting
Authors: Timothy Doupnik, Mark Finn, Giorgio Gotti, Hector Perera
5th edition
1259747980, 9781259747984, 1260466531, 978-1260466539
