Ridge Runner USA, a tire manufacturer, guarantees its tres against defects for five years or 60,000 miles, whichever comes first Suppose Ridge Runner USA can expect warranty costs during the five-year period to add up to 7% of sales. Assume that a Ridge Runner USA dealer in Denver, Colorado, made sales of $544,000 during 2018 Ridge Runner USA received cash for 45% of the sales and took notes receivable for the remainder Payments to satisfy customer warranty claims totated $20.900 during 2018 Read the requirements 1. Record the sales, warranty expense, and warranty payments for Ridge Runner USA (Record debits first, then credits Exclude explanations from any journal entries) First, let's record the sale of the tires Journal Entry Accounts Debit Credit U HUS, WITuver comes ust. Suppose Ridge the five-year period to add up to 7% of sales. Assume that a Ridge Runner USA dealer in Denver, Colorado, made sale SA received cash for 45% of the sales and took notes receivable for the remainder. Payments to satisfy customer warra expensi xplanations from i Requirements he tires A 1. Record the sales, warranty expense, and warranty payments for Ridge Runner USA. Ignore cost of goods sold. 2. Post to the Accrued Warranty Payable T-account. The beginning balance was $18,000. At the end of 2018, how much in accrued warranty payable does Ridge Runner USA owe to its customers? Print Done 18. Ridge Runner USA received cash for 45% UI uring 2018 requirements the sales, warranty expense, and warranty payments for Ridge Runner s record the sale of the tires. Journal Entry Accounts Debit Accrued Warranty Payable Cash Notes Receivable Sales Revenue Warranty Expense