Problem 13-14 Sandhill Company must make computations and adjusting entries for the following independent situstions at December 31. 2018. 1. Its line of 8mplifiers carries a 3-year werrenty egainst defects. On the basis of past experience the estimated werrenty costs related to dollar sales are first year after sale 2% of sales revenue; second year after sale 3% of sales revenue; end third year after sale-5% of sales revenue, Sales and ectual werranty expenditures for the first 3 years of business were Salas Warranty 201 2017 850,900 1.170.600 1,162,500 $ 6,860 15.530 59,400 compute the amount that Sandhill should report as a liability in its December 31, 2018, balance sheet. Assume that all sales are made evenly throughout each year with warranty expen es also evenly spaced relative to the rates bove. Liability should be reported on December 31, 2018 2. with some of its products, S ndhill includes coupons that are redec mable in merchandise. The coupon$ have no cepiration date and, in the company's expenence, 30% of them are redeemed. The liability for unredoemed coupons at December 31, 2017, was $9,400. During 2018, coupons worth S22,290 were issued, and merchandize worth S8,200 was distributed in exchange for coupons redcemed Compute the mount of the liability that hould appear on the December 31, 2018r balance hect. Liability should be reported on December 31, 2018 Question Attempts: O of 7 used