Oriole Inc. began selling game consoles on November 1, 2024. The company offers a 60-day warranty for defective merchandise. Based on past experience with other similar products, Oriole estimates that 3.00% of the units sold will become defective in the warranty period, and that the average cost of replacing or repairing a defective unit is $22. In November, Oriole sold 35,000 units and 550 defective units were returned. In December, Oriole sold 42,000 units and 730 defective units were returned. The actual cost of replacing the defective units was $22,528. (a) Your answer is correct. Prepare a journal entry to accrue for the estimated warranty costs for the November and December sales at December 31, 2024. (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 O for the amounts. List debit entry before credit entry.) Date Dec. 31 Account Titles Warranty Expense Warranty Liability Debit 50820 Credit 50820

Oriole Inc, began selling game consoles on November 1.2024. The company offers a 60 -day warranty for defective merchandise. Based on past experience with other similar products, Oriole estimates that 3.00% of the units sold will becorne defective in the warranty period, and that the average cost of replacing or repairing a defective unit is $22. In November, Oriole sold 35,000 units and 550 defective units were returned. In December, Oriole sold 42,000 units and 730 defective units were returned. The actual cost of replacing the defective units was $22,528. (a) Prepare a journal entry to accrue for the estimated warranty costs for the November and December sales at December 31 . 2024. (Credit account titles are outomatically indented when the amount is entered. Do not indent manuall). If no entry is required, select "No Entry for the account tiles and enter Ofor the amounts, List debit entry before credit entry) Prepare one summary journal entry at December 31,2024 , to record the cost of replacing the defective game consoles returned during November and December. (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 O for the amounts. List debit entry before credit entry)