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V's Violins offers a 3 year warranty as standard on each violin. Mr. V estimates that $90 on average is paid out per Violin sold
V's Violins offers a 3 year warranty as standard on each violin. Mr. V estimates that $90 on average is paid out per Violin sold to fulfill that warranty. a) Record the journal entry for the Warranty Expense if V's Violins sold 200 violins and 10% of the violins are expected to be returned under warranty, don't worry about the date: (3 marks) b) 25 violins are returned under warranty. It costs on average $30 on parts and $60 in labour for repairs. Record the journal transaction in the journal. don't worry about the date: (4 marks)
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