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All ThingsDigital, Inc. starts the year with a credit balance of $2,700 in its Estimated Warranty Payable account. During theyear, there were $226,000 in sales
All ThingsDigital, Inc. starts the year with a credit balance of
$2,700
in its Estimated Warranty Payable account. During theyear, there were
$226,000
in sales and
$4,700
in warranty repair payments. All Things Digital estimates warranty expense at
2%
of sales. At the end of theyear, what is the balance in the Estimated Warranty Payableaccount?
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