Crane Company sells automatic can openers under a 75-day warranty for defective merchandise. Based on past...

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Crane Company sells automatic can openers under a 75-day warranty for defective merchandise. Based on past experience, Crane estimates that 3% of the units sold will become defective during the warranty period. Management estimates that the average cost of replacing or repairing a defective unit is $15. The units sold and units defective that occurred during the last 2 months of 2022 are as follows. Units Sold Units Defective Prior to December 31 Month November 30,000 December 32,000 (a) 600 400 Your Answer Correct Answer (Used) Your answer is partially correct. Prepare the journal entry to record the costs incurred in honoring 1,000 warranty claims. (Assume actual costs of $15,000.) (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Warranty Expense (b) Warranty Liability eTextbook and Media List of Accounts Debit 44400 Credit 440 Attempts: 2 of 2 used Prepare the journal entry to record the warranty liability at December 31 for the units sold in November and December. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit Crane Company sells automatic can openers under a 75-day warranty for defective merchandise. Based on past experience, Crane estimates that 3% of the units sold will become defective during the warranty period. Management estimates that the average cost of replacing or repairing a defective unit is $15. The units sold and units defective that occurred during the last 2 months of 2022 are as follows. Units Sold Units Defective Prior to December 31 Month November 30,000 December 32,000 (a) 600 400 Your Answer Correct Answer (Used) Your answer is partially correct. Prepare the journal entry to record the costs incurred in honoring 1,000 warranty claims. (Assume actual costs of $15,000.) (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Warranty Expense (b) Warranty Liability eTextbook and Media List of Accounts Debit 44400 Credit 440 Attempts: 2 of 2 used Prepare the journal entry to record the warranty liability at December 31 for the units sold in November and December. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit