Question
During September, Excom sold 100 radios for $50 each; each radio sold carried a one-year warranty. Typically, 5% of radios sold will need to be
During September, Excom sold 100 radios for $50 each; each radio sold carried a one-year warranty. Typically, 5% of radios sold will need to be replaced under the warranty; Excom's cost to replace is $30 per unit. What is Excom's estimated warranty expense for September?
| a. | $3,000 | |
| b. | $150 | |
| c. | $5,000 | |
| d. | $120 | |
| e. | none of the above |
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Audit Planning Conduct And Closure Of Issues For Successful Resolution
Authors: Bincy Abraham, Imran Chaki, Naisarg Pujara
1st Edition
6200484961, 978-6200484963
