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Estimated Warranty Liability Cook-Rite Co. sold $687,000 of equipment during January under a six-month warranty. The cost to repair defects under the warranty is estimated
Estimated Warranty Liability Cook-Rite Co. sold $687,000 of equipment during January under a six-month warranty. The cost to repair defects under the warranty is estimated at 7.5% of the sales price. On August 15, a customer required a $213 part replacement, plus $186 of labor under the warranty Required: (a) Provide the journal entry for the estimated warranty expense on January 31 for January sales Jan. 31 L U C (b) Provide the journal entry for the August 15 warranty work. If an amount box does not require an entry, leave it blank. Aug. 15 - Tuy January under a six-month warranty. The cost to repair defects under the sales price. On August 15, a customer required a $213 part replacement, plus $186 of labor under the warranty. Required: (a) Provide the journal entry for the estimated warranty expense on January 31 for January sales. Jan. 31 (b) PL Accounts Payable Cash Product Warranty Expense Aug. 1 Product Warranty Payable the August 15 warranty work. If an amount box does not require an entry, leave it blank. Supplies Required: (a) Provide the journal entry for the estimated warranty expense on January 31 for Jan. 31 the August 15 warranty work. If an amount box doe Accounts Payable (b) Po Cash Aug. 1 Product Warranty Expense Product Warranty Payable Wages Payable Jan. 31 (b) Provide the journal entry for the August 15 warranty w Aug. 15 Accounts Payable Product Warranty Expense Product Warranty Payable Supplies Wages Expense Jan. 31 (b) Provide the journal entry for the August 15 warranty work. If an amount box doe Aug. 15 Cash Product Warranty Expense Product Warranty Payable Unearned Wages Wages Payable (b) Provide the journal entry for the August 15 warranty work Aug. 15 Accounts Payable Cash Product Warranty Expense Product Warranty Payable Supplies
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