Cupola Awning Corporation introduced a new line of commerclal awnings in 2024 that carry a two-year warranty against. manufacturer's defects, Based on their experience with prevous product introductions, warranty costs are expected to approximate 2% of sales. Sales and actual warranty expenditures for the first year of selling the product were: Required: 1. Does this situation represent a loss contingency? 2. Prepare journal entries that summarize saler of the awnings (assume all credit seles) and any aspects of the warranty that shouk be recorded during 2024. 3. What amount should Cupola report as a liablity at December 31, 2024? Complete this question by entering your answers in the tabs below. Does this situation represent a loss contingency? Complete this question by entering your arswers in the tabs below. Prepare journal entries that summarise sales of the aumings (assume all credit sales) and any aspects of the warranty that should be recorded during 2024. Notes If no entry 6 required for a transaction/event, select "No joumal entry requined" in the first acciount field: Journal entry worksheet 1 Cupola Awning Corporation introduced a new line of commerclal awnings in 2024 that corry a two-year warranty against manufacturer's defects. Based on their experience wath prevous product introductions, warranty costs are expected to approximate 28 of sales. Sales and actual warranty expendtures for the first year of selling the product were: Requlred: 1 Does this stuation represent a loss contingency? 2. Prepare joumal entries that summartze sales of the awnings (assume all credit sales) and any aspects of the warranty that should be recorded during 2024 3. What amount should Cupola report as a llablity at Docember 31. 2024? Complete this question by entering your answers in the tabs below. What amount should Cupola report as a liability at Decerrber 31, 2024? Complete this question by entering your answers in the tabs below. Prepare journal enitries that sammarize sales of the amingt (assume all credt sales) and any aspects of the inaranty that should be recorded during 2024 . Notes If no entry a required for a transactoon/event, select tNo journal entry roquired in the first account field. Journal entry worksheet Complete this question by enfering your answers in the tabs below. Prepare journal entries that summarize sales of the avmings (assume all credit sales) and ary aspects of the Vismanty that should be recorded during 2024. Notes If no entry it noquired for a transaction/event, select "No joumal entry required" in the first accourt Field
