Answer:
$0
Explanation:
Scott Company must record the warranty expense and liability regarding the products sold during the years that they occur. For example, the following journal entry must be made to record the warranty expense for year 1:
Dr Warranty expense 25,000
Cr Warranty liability 25,000
During year 2, they will record the warranty expense for that year:
Dr Warranty expense 20,000
Cr Warranty liability 20,000
That means that during year 3, the only warranty expense recorded will be the one related to the goods sold during that year.
B. Evaluation
Evaluating means to systematically determine somethings merits and significance, including the seriousness or gravity of a problem.
Answer: bribery and conflict of interest
Explanation: In simple words, bribery refers to the act under which one individual tries to persuade the behavior of another individual for his benefit by offering him or her monetary benefits.
Whereas, conflict of interest refers to a situation when someone has the authority to make decisions that benefits himself more than the entity he is working for.
Hence we can conclude that the above case depicts bribery and conflict of interest.
