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On January 1, 2020, Carla Vista Ltd. sold on account 800 units of its product for a total price of $547,000 and a cost of
On January 1, 2020, Carla Vista Ltd. sold on account 800 units of its product for a total price of $547,000 and a cost of $445,000. The products have a one-year assurance-type warranty and Carla Vista estimates that the cost will be $26,000. By the company's year-end December 31, 2020, actual warranty costs related to the products sold was $17,400, paid in cash. Prepare all appropriate journal entries including the sale of merchandise. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry"for the account titles and enter Ofor the amounts.) Date Account Titles and Explanation Debit Credit January 1/20 (To record the sale) (To record the cost of goods sold) Question 12 of 16 - / 15 (To record the sale) (To record the cost of goods sold) (To record warranty costs) e Textbook and Media List of Accounts Accounts Payable Accounts Receivable Advertising Expense Allowance for Doubtful Accounts Allowance for Sales Returns and Allowances Cash Commission Expense Commission Revenue Compensation Expense Consignment Sales Construction Expenses Contract Asset/Liability Cost of Goods Sold Estimated Inventory Returns Interest Expense Interest Income Returned Inventory Revenue from Consignment Sales Revenue from Long-Term Contracts Sales Discounts Sales Discounts Forfeited Sales Returns and Allowances Sales Revenue Service Revenue Uncarned Rent Revenue Unearned Revenue Utilities Expense Warranty Expense Warranty Liability Warranty Revenue Save for Later Attempts: 0 of 1 used Submit
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