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shusha [124]
3 years ago
12

Ragas, Inc. sold goods with a selling price of​ $50,000 in the 2017 and estimated​ 5% warranty expense for the year. Customers c

omplained of​ defects, and goods with a cost of​ $1,500 had to be replaced. Which of the following is the correct journal entry for honoring the warranties with​ goods?
A. Estimated Warranty Payable ​1,500
     Cash 1,500
B. Estimated Warranty Payable 1,500
     Warranty Expense 1,500
C. Warranty Expense 1,500
     Merchandise Inventory 1,500
D. Estimated Warranty Payable 1,500
     Merchandise Inventory ​1,500
Business
1 answer:
Trava [24]3 years ago
8 0

Answer:

D. Estimated Warranty Payable 1,500

    Merchandise Inventory ​1,500

When the Warranty is honored, the Estimated Warranty account is debited to show the claiming of the expense.

The relevant asset account which in this case is Merchandise inventory is credited to show that it's reduction.

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Frank lives in an area that experiences frequent thunderstorms. What precautionary measures should he adopt?
Alisiya [41]

Answer:

There are different precautionary measures Frank can adopt. They are:

Explanation:

1. Frank should have outdoor furniture made of concrete instead of metal.

A strike of thunder on a metal surface will propel an electric shock.

2. Frank should pay good or regular attention to the weather forecasts.

He should have a handy device such as a small radio, which will keep him abreast of important happenings in the area.

3. Frank should take cover once a stroke of lightning appears in the sky.

The field of Physics lets us to know that light travels faster than sound and that the moment lightning appears in the sky, expect thunder roaring about 8 seconds after.

4. Frank should get used to or always wear covered shoes, to protect him from the electric charge that is created between a thunderstorm and a wet ground. Gloves could also do, for the hands.

5. Frank should structure his movements and road trips such that he accounts for some time that'll be used to wait for thunderstorms to pass; since it's unsafe to drive while the storms are roaring.

This will help him be on time to events and meetings.

6. Frank should avoid leaning on walls which have metal wires or bars across them, especially when lightning appears.

7. Frank should avoid anything wet, during a thunderstorm. This precaution should be taken even while indoors.

8. In the event that frank gets caught outdoors or in the open when a thunderstorm occurs, he should stoop and let only his feet have contact with the ground.

3 0
3 years ago
Star software systems and henry orally agree for henry to write special accounting software. this software usually takes three y
ELEN [110]

There are 6 requirements for a verbal contract:

An offer. -- they had this

An acceptance. -- the contract was accepted

Competent parties who have the legal capacity to contract. - they both have the right to make this decision

Lawful subject matter. this is not an illegal operation

Mutuality of obligation. Both parties are obligated to do something in this case.

Consideration. if there were discussions of payment, then yes this is a legally enforceable contract.

4 0
3 years ago
Presented below is information available for Crane Company.
JulsSmile [24]

Answer:

the acid-test ratio is 1.5 times

Explanation:

The computation of the acid-test ratio is as follows:

Acid test Ratio = Quick assets ÷ current liabilities

where,

Quick Assets is

= Cash + short tern investments + Account receivable

= $3,500 + $50,000 + $56,000

= $109,500

And, the current liabilities is $73,000

So, the acid-test ratio is

= $109,500 ÷ $73,000

= 1.5 times

Hence, the acid-test ratio is 1.5 times

3 0
3 years ago
Define the word hierarchical structure.
Mariulka [41]
A hierarchical structure refers to a company's chain of command, typically from senior management and executives to general employees. In other words, this structure applies to organizations with a sole leader and a flow of subordinates underneath them. For example, let's say a company has 10 employees.
3 0
3 years ago
Global Corp. wants to launch a new product. The determinant attributes for the product were identified, and the range for each s
Doss [256]

Answer: Trade off analysis

       

Explanation: In simple words, it refers to the decision making technique under which the decision maker gives up one thing for gaining the other.

    In the given case, Global corp. were asking their consumers to prioritize the attributes they were expecting from the new product. The higher demanded attribute would have been added and the lower one will be neglected.

Hence from the above we can conclude that the correct answer is trade off.

3 0
3 years ago
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