Question
At the beginning of 2020, Sun Angel Corporation began offering a two-year warranty on its products. The warranty program was expected to cost Sun
At the beginning of 2020, Sun Angel Corporation began offering a two-year warranty on its products. The warranty program was expected to cost Sun Angel 3% of net sales in the first 12 months and 1% of net sales in the second 12 months. Net sales made under warranty in 2020 were $187,745,615. Fifteen percent of the units sold were returned in 2020 and repaired or replaced at a cost of $5,426,433. The amount reported on Sun Angel's 2020 year end balance sheet for Estimated Warranty Liability is: *round your final answer to the nearest $1 13
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