Corinth Company estimates its annual warranty expenses at 3% of annual net sales. The following data...

 

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Corinth Company estimates its annual warranty expenses at 3% of annual net sales. The following data are available on December 31, 2020: Sales 5,050,000 Sales returns and allowances Warranty expense, 2019 50,000 120,000 Actual warranty incurred and paid in years 2019 and 2020 are P90,000 and P110,000; respectively. How much is the warranty expense during 2020? Corinth Company estimates its annual warranty expenses at 3% of annual net sales. The following data are available on December 31, 2020: Sales 5,050,000 Sales returns and allowances Warranty expense, 2019 50,000 120,000 Actual warranty incurred and paid in years 2019 and 2020 are P90,000 and P110,000; respectively. How much is the warranty expense during 2020?

Answer rating: 100% (QA)

Net Sales will be Sales Sales Returns and Allowances P5050000 ... View the full answer