QUESTION 3 (15 MARKS: 27 MINUTES) Bobo Sdn Bhd sells computers for RM3,000 each and also gives each customer a 2-year warranty that requires the company to perform periodic services and to replace defective parts. During 2009, the company sold 350 computers. Based on past experience, the company has estimated the total 2-year warranty costs as RM60 for parts and RM120 for labor. (Assume all sales occur at 31 December 2009.) In 2010, Bobo incurred actual warranty costs relative to 2009 computer sales of RM20,000 for parts and RM36,000 for labor. Required: a) Under the expense warranty treatment, give the entries to reflect the above transactions (accrual method) for 2009 and 2010. (7 marks) b) Under the cash basis method, what are the Warranty Expense balances for 2009 and 2010? (4 marks) c) Determine the balance of current liabilities under the accrual method for 2009. (4 marks)