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Viggo Factory provides a 2-year warranty with one of its products, which was first sold in 2019. In the year, Viggo spent $55,000 servicing warranty
Viggo Factory provides a 2-year warranty with one of its products, which was first sold in 2019. In the year, Viggo spent $55,000 servicing warranty claims. At year-end, Viggo estimates that an additional $240,000 will be spent in the future to service warranty claims related to 2019 sales.
Required: Prepare the journal entries related to warranty.
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