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Hardin Widget Manufacturing began operations in January 2021. Hardin sells widgets that carry a two-year manufacturer's warranty against defects in workmanship Hardin's management projects that

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Hardin Widget Manufacturing began operations in January 2021. Hardin sells widgets that carry a two-year manufacturer's warranty against defects in workmanship Hardin's management projects that 2% of the widgets will require repair during the first year of the warranty while approximately 6% will require repair during the second year of the warranty. The widgets sell for $300 each. The average cost to repair a widget is $40. The company sells 65% of the widgets to retail customers who must pay a 6% sales tax Sales and warranty Information for 2021 and 2022 are as follows 2021: Sold 140 widgets on account, incurred warranty expenditures of $240 for widget repairs 2022: Sold 240 widgets on account, actual payments for warranty expenditures were $440. Required: 1. Prepare journal entries that summarize the sales and any aspects of the warranty for 2021. 2. Prepare Journal entries that summarize the sales and any aspects of the warranty for 2022. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare Journal entries that summarize the sales and any aspects of the warranty for 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account held.) View transaction list View Journal entry worksheet No Transaction General Journal 1 Accounts receivable Sales Sales taxes payable Credit Debit 43,636 42.000 1,638 2 2 Warranty expense Warranty ability 3 3 Warranty liability Cash CAL Required 2 > Hardin Widget Manufacturing began operations in January 2021. Hardin sells widgets that carry a two-year manufacturer's warranty against defects in workmanship. Hardin's management projects that 2% of the widgets will require repair during the first year of the warranty while approximately 6% will require repair during the second year of the warranty. The widgets sell for $300 each. The average cost to repair a widget is $40. The company sells 65% of the widgets to retail customers who must pay a 6% sales tax Sales and warranty Information for 2021 and 2022 are as follows: 2021: Sold 140 widgets on account incurred warranty expenditures of $240 for widget repairs. 2022: Sold 240 widgets on account, actual payments for warranty expenditures were $440. Required: 1. Prepare journal entries that summarize the sales and any aspects of the warranty for 2021 2. Prepare journal entries that summarize the sales and any aspects of the warranty for 2022. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that summarize the sales and any aspects of the warranty for 2022. (If no entry is required for a transaction/event, select "No Journal entry required in the first account held.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit 1 Accounts receivable Sales Sales tax payable 2 2 Warranty expenso Warranty ability 3 3 Warranty ability Cash

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