P9-6 LO9-1, 9-4 Determining Financial Statement Effects of Various Liabilities (AP9-3) Dell Computers is a leader in the computer industry with over $59 billion in sales each year. A recent annual report for Dell contained the following note: Warranty We record warranty liabilities at the time of sale for the estimated costs that may be incurred under our limited warranty. Factors that affect our warranty liability include the number of installed units currently under warranty, historical and anticipated rates of warranty claims on those units, and cost per claim to satisfy our warranty obligation 1. Assume that estimated warranty costs for the current year are 5500 million and that $400 million of warranty work was performed during the year. Provide the journal entries required to recognize ranty expense and the warranty services provided during the year. Assume that all warranty services were paid for with cash. Walt Disney is a well-recognized brand in the entertainment industry with products ranne t h cast media to parks and resorts. The following note is from a recent annual report Revenue Recognition For non expiring multi-day tickets to our theme parks, we recognize revenue over a three-year period hasad on estimated usage patterns which are derived from historical usage patterns 2. Assume that in the current year, Disney collected 590 million in multiday tickets that timates that $5 million worth of multiday tickets that have been sold in the past will not be used (e.g., they have been lost by customers int of the $90 million in cash and (b) the $5 million that nal entries required to recognize (a) the receipt of the $90 million in cash and the Disney estimates will not be used. ave been lost by customers). Provide the jour