The following selected transactions relate to liabilities of Interstate Farm Equipment Company for December 2024. Interstate's fiscal year ends on December 31. Required: Prepare the appropriate journal entries for these transactions. 1. On December 15 , received $9,000 from Bradley Farms toward the sale by Interstate of a $117,000 tractor to be delivered to Bradley on January 6, 2025. 2. During December, received $31,000 of refundable deposits relating to containers used to transport equipment parts. 3. During December, credit sales totaled $874,000. The state sales tax rate is 5% and the local sales tax rate is 2%. (This is a summary journal entry for the many individual sales transactions for the period.) Note: For all requirements, if no entry is required for a transaction/event, select "No journal entry required" in the first account field. 1 On December 15, received $9,000 from Bradley Farms toward the sale by Interstate of a $117,000 tractor to be delivered to Bradley on January 6, 2025. 2 During December, received $31,000 of refundable deposits relating to containers used to transport equipment parts. 3 During December, credit sales totaled $874,000. The state sales tax rate is 5% and the local sales tax rate is 2%. Cupola Awning Corporation introduced a new line of commercial awnings in 2024 that carry a two-year warranty against manufacturer's defects. Based on their experience with previous product introductions, warranty costs are expected to approximate 3% of sales. Sales and actual warranty expenditures for the first year of selling the product were: Required: 1. Does this situation represent a loss contingency? 2. Prepare journal entries that summarize sales of the awnings (assume all credit sales) and any aspects of the warranty that should be recorded during 2024. 3. What amount should Cupola report as a liability at December 31,2024 ? 1 Record the 2024 sales. 2 Record the warranty expense. 3 Record the actual expenditures. What amount should Cupola report as a liability at December 31,2024