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Rambler, Inc. reported sales revenue for 2019 of $903,000. The products were sold with a nine -month warranty. Members of Rambler's management estimate that the
Rambler, Inc. reported sales revenue for 2019 of $903,000. The products were sold with a nine -month warranty. Members of Rambler's management estimate that the cost of the warranty will be equal to 8% of sales revenue. Which of the following will be included in the entry to record the actual amounts paid out as a result of warranty claims? A. O B. O C. a debit to Estimated Warranty Payable for the actual amount of payments a debit to Warranty Expense for the actual amount of payments a debit to Estimated Warranty Payable for $72,240 D. a credit to Estimated Warranty Payable for S72.240
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