Your answer is partially correct. Try again. Prepare 2017 entries for Monty assu

Question

Your answer is partially correct. Try again. Prepare 2017 entries for Monty assuming that the warranties are not an integral part of the sale (a service-type warranty) Assume that of the sales total, $60,000 relates to sales of warranty contracts. Monty estimates the total cost of servicing the warranties will be $59,000 for 2 years. Estimate revenues to be recognized on a straight-line basis. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Round intermediate calculations to 5 decimal places, e.g. 1.54657 answers to 0 decimal places, e.g. 5,125.,) Date Account Titles and Explanation Debit Credit At Sale 2440000 Sales Revenue Uneamed Warranty Revenue 60000 During 2017 arranty Expense 19000 Cash 19000 Dec. 31, 201Unearned Warranty Revenue 19323 Warranty Revenue 19323 To record warranty revenue)

Explanation / Answer

date Accounts Title & Explanation Debit Credit Dec 31 2017 Unearned Warranty Revenue 19322 Warranty Revenue 19322 (19000/59000)X 60000

Related Questions

Navigate

• Browse (All)
• Browse Y
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.