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Computer Wholesalers restores and resells notebook computers. It originally acquires the notebook computers from corporations upgrading their computer systems, and it backs each notebook it

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Computer Wholesalers restores and resells notebook computers. It originally acquires the notebook computers from corporations upgrading their computer systems, and it backs each notebook it sells with a 90 -day warranty against defects. Based on previous experience, Computer Wholesalers expects warranty costs to be approximately 4% of sales. Sales for the month of December are $430,000. Actual warranty expenditures in January of the following year were $14,500. Required: 1. Does this situation represent a contingent liability? 2. \& 3. Record the necessary entries in the Journal Entry Worksheet below. 4. What is the balance in the Warranty Liability account after the entries in Parts 2 and 3 ? Complete this question by entering your answers in the tabs below. Does this situation represent a contingent liability? Record the necessary entries in the Journal Entry Worksheet below. (If no entry is required for a particular transaction/e Joumal Entry Required" in the first account fleld.) Journal entry worksheet Record the contingent liability for warranties. Note: Enter debits before credits. Record the necessary entries in the Journal Entry Worksheet below. (If no entry is required for a particular transaction/e Journal Entry Required" in the first account field,) Journal entry worksheet Record the actual warranty expenditures. Note: Enter debits before credits Exercise 8-15 (Algo) Record warranties (LO8-5) Computer Wholesalers restores and resells notebook computers. It originally acquires the notebook computers from corporation upgrading their computer systems, and it backs each notebook it sells with a 90 -day warranty against defects. Based on previous experience, Computer Wholesalers expects warranty costs to be approximately 4% of sales. Sales for the month of December are $430.000. Actual warranty expenditures in January of the following year were $14,500. Required: 1. Does this situation represent a contingent liability? 2. \& 3. Record the necessary entries in the Journal Entry Worksheet below. 4. What is the balance in the Warranty Liability account after the entries in Parts 2 and 3 ? Complete this question by entering your answers in the tabs below. What is the baiance in the Warranty Liability account after the entries in Parts 2 and 3

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