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Sadler Corporation produces lawnmowers. The lawnmowers come with a three-year warranty. During 20X6, Sadler sold 20,000 lawnmowers that cost $5,800,000 to a manufacturer for $10,000,000

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Sadler Corporation produces lawnmowers. The lawnmowers come with a three-year warranty. During 20X6, Sadler sold 20,000 lawnmowers that cost $5,800,000 to a manufacturer for $10,000,000 cash. Sadler's accountant estimates that 10 percent will need to be repaired at some point over the next three years at an average cost of $37 per lawnmower. a. Make the journal entries to record the sale of the lawnmowers in 20X6. (Remember there are 2 sets of journal entries to record a sale) Debit Credit b. Record warranty expense for 20X6 Debit Credit C. During 20X7, Sadler spends $24,000 to repair the lawnmowers. Record this. Debit Credit d. At the end of 20X7, Sadler's accountant reevaluates the warranty estimates. The accountant believes that the actual warranty liability may be higher than her original estimates. She now believes that an additional $17,000 should be added. Make the necessary journal entry D Focus d. At the end of 20X7, Sadler's accountant reevaluates the warranty estimates. The accountant believes that the actual warranty liability may be higher than her original estimates. She now believes that an additional $17,000 should be added. Make the necessary journal entry. Debit Credit e. During 20X8, Sadler spends $60,000 to repair the lawnmowers. Record this. Debit Credit

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