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
NikAS [45]
3 years ago
5

Excom sells radios and each unit carries a two-year replacement warranty. The cost of repair defects under the warranty is estim

ated at 5% of the sales price. During September, Excom sells 100 radios for $50 each. One radio is actually replaced during September. For what amount in September would Excom debit Product Warranty Expense?
Business
1 answer:
Vladimir [108]3 years ago
4 0

Answer:

$150

Explanation:

The Warranty Expense account is a liability account and it must include all the estimate costs associated to the merchandise sold:

100 radios were sold and the company estimates to replace 5% or them = 100 x 5% = 5 radios

the cost of replacing 5 radios = 5 radios x $30 per radio = $150

You might be interested in
Think of an example of a time during the last month when you should have used critical thinking skills but did not . What was th
Anna35 [415]
This app requested me to answer this question to get points but sorry idk the answer cs im in 6th
6 0
3 years ago
On January 1, 2018, VKI Corporation awarded restricted stock units (RSUs) representing 19 million of its $1 par common shares to
zysi [14]

Answer:

1. Total compensation cost= $96.9 m

2. Compensation expense  $32.3 m

                       paid-in capital - restricted stock   $32.3m

Explanation:

The question relates to 'EQUITY GRANT', which is some sort of compensation given to somebody, especially/specifically to employees of an entity provided that certain conditions/vesting requirements are satisfied by the employee. For example, an entity in it's initial phases of growth (because certain entities don't have the money/working capital in initial stages of business) offers it's employees to stay within the entity for at least three years during which no stipend will be paid but shall receive equity ownership thereafter. In such a situation the employer grants them equity once the vesting requirement is satisfied by the employees.

<em>So at the time of of awarding, no entry is passed with respect to RSUs but at each reporting date the entity records a certain amount in equity account. Total compensation cost is calculated as follows:</em>

Total compensation cost = 19 m×$5.10

TCC= $96.8M

The RSUs are split into three year period as follows:

Yearly equity recognition: $96.9m÷3= $32.3m

So at 31 December 2018 VKI Corporation would charge $32.3m to the equity account. The entry is as follows:

Compensation expense  $32.3 m

                       paid-in capital - restricted stock   $32.3m

8 0
3 years ago
The Tanner Company's April 30 pre-reconciliation cash balance on its books was $35,000. While preparing the April 30 bank reconc
siniylev [52]
C. $38,950 hope this helped stay safe
4 0
3 years ago
Why do producers heed the cues of the marketplace
IrinaVladis [17]
Because Convenience product is enough affordable item that merits little shopping efforts. Like candy, soft drinks, combs, aspirin. Diminutive hardware items, dry cleaning and car washes.
Specialty products, Extensive for a particular item, and hesitant to accepts backup. Rolls Royce automobiles, Bose speakers, Rolex watches.
4 0
3 years ago
f prices are inflexible, then a negative demand shock will lead to Group of answer choices a short-run decrease in prices. no ch
Murrr4er [49]

Answer:

A short-run decrease in real GDP.

Explanation:

A short-run decrease in real GDP.

The last option is correct because the prices are inflexible which means an increase or decrease in quantity will have no effect on the prices. So, the negative demand shock( means a sudden decrease in quantity) will not affect the price but it will decrease the real GDP because the demand curve will shift leftwards.

5 0
3 years ago
Other questions:
  • Isabellas, Inc., a local convenience store, sells soft drinks. It sells two large drinks for every small drink. A large drink se
    12·1 answer
  • which of the following statements about taxes is FALSE? A-Taxes are collected a the local, state and federal level. B-Some state
    11·2 answers
  • In the long​ run, a perfectly competitive market will A.supply whatever amount consumers demand at a price determined by the min
    9·1 answer
  • A company is obligated to pay its creditors $6,100 at the end of the year. If the value of the company's assets equals $5,800 at
    8·1 answer
  • Nolan Dry Cleaners has determined the following about its​ costs: Total variable expenses are $40,000​, total fixed expenses are
    15·1 answer
  • On July 1, 2017, Ling Co. pays $7,440 to Pina Colada Corp. for a 2-year insurance contract. Both companies have fiscal years end
    10·1 answer
  • Which of the following is an other comprehensive income item found in the statement of stockholders equity? a. Extraordinary ite
    13·1 answer
  • During 2010, Congress debated the advisability of retaining some or all of the tax cuts signed into law by former President Geor
    7·1 answer
  • On April 1, Garcia Publishing Company received $32,580 from Otisco, Inc. for 36-month subscriptions to several different magazin
    7·1 answer
  • The following account balances are taken from the December 31, 2018, financial statements of ABZ Advertising Company. The compan
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!