. A company sells its product subject to a warranty that covers the cost of parts...

 

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. A company sells its product subject to a warranty that covers the cost of parts for repairs during the six months after the date of sale. Warranty costs are estimated to be 5% of sales. During the month of July, the company performed warranty work and used $11,000 of parts to perform the warranty work. Sales for July were $450,000. 1. Record the warranty expense for the month of July. (6 points) 1000 2. Record the costs of the warranty work completed in June. (6 points) 3. If the Estimated Warranty Liability account had a credit balance of $10,000 on May 31, what is the account balance at June 30? (5 points) . A company sells its product subject to a warranty that covers the cost of parts for repairs during the six months after the date of sale. Warranty costs are estimated to be 5% of sales. During the month of July, the company performed warranty work and used $11,000 of parts to perform the warranty work. Sales for July were $450,000. 1. Record the warranty expense for the month of July. (6 points) 1000 2. Record the costs of the warranty work completed in June. (6 points) 3. If the Estimated Warranty Liability account had a credit balance of $10,000 on May 31, what is the account balance at June 30? (5 points)