1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
wlad13 [49]
3 years ago
14

Dynamo Corporation manufactures toasters. Each toaster comes with a 5-year assurance-type warranty. The toasters sell for $60 ea

ch. During Year 1, Dynamo sells 600 toasters, for cash. Past experience shows that the average warranty costs are $4 each or $2,400 for these toasters. In Year 1, Dynamo pays $500 cash for warranty costs on the toasters sold that year. Required: Prepare Dynamo’s journal entries related to the sales and warranty in Year 1.
Business
1 answer:
nordsb [41]3 years ago
7 0

Answer:

Journal entry to record sale of toasters and warranty

Dr Cash 36,000

    Cr Sales revenue 36,000

Dr Warranty expense 2,400

    Cr Warranty liability 2,400

Adjusting entry for actual warranty expense

Dr Warranty liability 500

    Cr Cash 500

Since the warranty covers a 5 year period, the remaining warranty expense cannot be recognized as warranty revenue yet. Only after the warranty period is over, will any money left over will be recognized as revenue.

You might be interested in
Simply stated, the manner in which you and other employees treat your customers and each other as you deliver your company's pro
shepuryov [24]

Answer:

Customer service

Explanation:

Customer service is simply the act of meeting a customer's needs. This involves providing professional, informative, pre-service and post-service opportunities among other things to ensure that the customer is satisfied and also ensuring the employees are delivering company products and other things to the public.

Cheers.  

4 0
3 years ago
Jamie ensures that his subordinates are closely guided and instructed throughout a project. He believes that this makes him a hi
GaryK [48]

The blind area REASON: Jamie is unaware that his behavior is viewed as controlling to others.

7 0
3 years ago
Peach Company uses a weighted-average process-costing system. Company records disclosed that the firm completed 40,000 units dur
Advocard [28]

Answer:

D. $28.50

Explanation:

Peach Equivalent-unit cost = Total Cost / Units

Peach Equivalent-unit cost = ($966000 + $231000) / (40000 units + (10000 units*20% completion))

Peach Equivalent-unit cost = $1197000 / (40000 units + 2000 units)

Peach Equivalent-unit cost = $1197000 / 42000 units

Peach Equivalent-unit cost = $28.50

5 0
3 years ago
You are working on a client-driven project. You were told very specific operating guidelines up front, and the client has used t
Juli2301 [7.4K]

Answer:

The correct answer is letter "C": Offer to make the changes to the product and explain to your supervisor what happened.

Explanation:

In front of every problematic situation, a solution must be offered beforehand. If the other party is alleging were are guilty of something, we must review what or role in the situation was to confirm if we did what we were requested to do. Just like in the example, the guidelines we were hired for were met but the client replied stating they were not. In such a case, the whole situation must be explained to the supervisor in charge.

4 0
3 years ago
Your company is about to undertake a major investment project. The project will require an initial outlay of $100 million for fi
Tcecarenko [31]

Answer:

A) initial outlay = $150 million

Cash flow year 1 = [($30 - $25) x 0.6] + $25 = $28

Cash flow year 2 = [($30 - $25) x 0.6] + $25 = $28

Cash flow year 3 = [($30 - $25) x 0.6] + $25 = $28

Cash flow year 4 = [($30 - $25) x 0.6] + $25 + ($25 x 60%) + $50 = $93

B) Using a financial calculator, NPV = -$16.85 million

C) cash flow year 4 should increase by $24.667 million, meaning that the selling price must increase by $$24.667/0.6 = $41.11 million

minimum selling price $25 + $41.11 = $66.11 million

7 0
3 years ago
Other questions:
  • Joyce Murphy runs a courier service in downtown Seattle. She charges clients $0.60 per mile driven. Joyce has determined that if
    13·1 answer
  • At the end of Year 1, the balance sheet for the Rich Food Restaurant showed cash at $20,000. At the end of Year 2, the balance s
    8·1 answer
  • A balanced scorecard should not contain any performance measures concerning customer satisfaction since the extent to which cust
    12·1 answer
  • The range for daily sales for the week, $89,000, $75,000, $98,000, $66,000, and $99,000, is ________. a. $33,000. b. $85,400. c.
    13·1 answer
  • Lagoon has two food stores Buck's and Combo's. It costs $1 to make one of Buck's bread loaves and $2 to make one of Combo's chee
    11·1 answer
  • ___________ is a process used to test consumer reactions about a product among potential users.
    11·2 answers
  • What type of insurance would you consider the most important?
    15·1 answer
  • __________ includes considering employee interactions with customers to ensure they are consistently delivered and experienced,
    11·1 answer
  • Internal-operational communication is defined as:
    6·1 answer
  • Successfulness of the competition policy in South Africa
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!