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timofeeve [1]
3 years ago
13

Finisher Inc. sells merchandise of $250,000 in 2020 that includes a three-year limited warranty. Warranty costs are estimated to

be 1% of sales. The company incurred actual costs of $800 in 2020 related to the warranties. a. Record the warranty accrual at the time of sale in 2020. b. Record the adjustment to the warranty accrual for actual warranty costs in 2020.
Business
1 answer:
N76 [4]3 years ago
8 0

Answer: See explanation

Explanation:

a. Record the warranty accrual at the time of sale in 2020.

Debit Warranty expense = $250,000 × 1% = $2,500

Credit Warranty Liability $2,500

(To record the warranty accrual)

b. Record the adjustment to the warranty accrual for actual warranty costs in 2020.

Debit Warranty Liability $800

Credit Cash and Payables $800

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ivann1987 [24]

Answer:

Please find the detailed answer as follows:

Explanation:

a) The cost of obtaining an MBA degree for someone who is employed in a business position normally is a deductible education expense. But if the reason for taking course is to qualify her for a new trade or business then the expense will not be deductible or disallowed.

Reasons Deductible or Nondeductible

  • It is to maintain or improve existing skills required in her present job. Deductible
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b) $4,000 will be allowed as deduction for qualified tuition under § 222. Except for this amount of tuition portion, Jamie must itemize to claim the deduction and it will also be subject to the 2% of AGI limitation.

5 0
4 years ago
Which of the following statements about codes of conduct is false? a. They are formal statements of what an organization expects
Rufina [12.5K]

Answer:

E) They address every ethical issue that an employee may face.

Explanation:

Codes of conduct are all the rules that establish what is acceptable behavior and what is not acceptable behavior. Each organization should develop its own codes of conduct and provide them in writing to each of their employees.

But no matter how long and detailed a code of conduct is, it cannot include every possible ethical issue or action that can take place in an organization because the options are simply too many.

3 0
3 years ago
An investor wants to save money over a long period of time. This investor does not need to have easy access to the money and is
Mariana [72]

If an investor wants to save money over a long period without easy access to the money and knowing the interest rate will not change, they need <u>A. Bonds</u>.

<h3>What are bonds?</h3>

Bonds are securities that guarantee the return of capital and periodic interests on a long-term basis.

Types of Bonds include:

  • U.S. Treasury Bonds
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Learn more about long-term investments at brainly.com/question/17050326

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6 0
2 years ago
During an​ accident, when the​ vehicle's airbag​ deploys, it can cause injuries to​ the
Flura [38]
Heya

the ans is to the passengers or the person who was driving.

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5 0
3 years ago
Numerous customers of a bridal store lost their ordered and prepaid wedding gowns when the store locked its doors and declared b
Kaylis [27]

<u>Answer:</u> Consolidation

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6 0
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