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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 5% of sales. Sales for the month of December are $530,000. Actual warranty expenditures in January of the following year were $19,500. Required: 1. Does this situation represent a contingent llability? 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 balance in the Warranty Liability account after the entries in Parts 2 and 3 ? Record the necessary entries in the Journal Entry Worksheet below. (If no entry is required for a particular transaction Journal Entry Required" in the first account field.) 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 parti Journal Entry Required" in the first account field.) Journal entry worksheet Record the actual warkanty expenditures. Note: Enter debits before credits. experience, Computer Wholesalers expects warranty costs to be approximately 5% of sales. Sales for the month of December are $530,050. Actual warranty expenditures in January of the following year were $19,500. 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

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