The estimated cost of the assurance-warranty is $350. The accounting for warranty will include a credit to Unearned Warranty Revenue, $900
Explanation:
- Entertainment Tonight, Inc. manufactures and sells stereo systems that include an assurance-type warranty for the first 90 days. Entertainment Tonight also offers an optional extended coverage plan under which it will repair or replace any defective part for 2 years beyond the expiration of the assurance-type warranty. The total transaction price for the sale of the stereo system and the extended warranty is $3,000. The standalone price of each is $2,300 and $900, respectively. The estimated cost of the assurance-warranty is $350. The accounting for warranty will include a credit to Unearned Warranty Revenue, $900.
- Unearned extended warranty revenue is given to be as an unearned revenues in accrued liabilities in the balance sheets.
- Revenue which comes from separately priced, self-insured service contracts is reffered at the point of sale.
- Unearned revenue is a money which is received from a customer for work that has not been performed still.
7%........................
The answer is a, a cash reserve
I think the correct answer would be primary source. It is an account of an event created by someone who took part in or witnessed the event. It is also known as original source. It is any document, manuscript, diary, autobiography, artifact, recording or any source that was made at the time being studied. Examples are interviews, archives, photographs, letters, films and scrapbooks. When the data from these primary sources are obtained from other source wherein they are being analyzed and interpreted then these sources will be called as a secondary source. Examples are articles, books, magazines, surveys, internet resources.
