Group B (Qs 25 is compulsory and you can attempt any three out of the rest) 21.i) Explain the accounting process for warranties. (5) ii). New Growth greenhouse purchases 500 watering cans for $1,500 plus 13% HST for a total of $1,695. In the spring New Growth sells these watering cans for $3,000 plus HST for a total of $3,390. Prepare the following journal entries for: a. the purchase of the watering cans by New Growth b. the sale of the watering cans c. the remittance of the HST (23=6) iii). Describe the two interest rates included in setting the price of a bond(4) 22 i) On January 1, 2017, Tranche Corp. issued $750,000 of 8%,10-year bonds, with annual interest payments on December 31 . The bonds were issued for $657,831 yielding an effective-interest rate of 10%. Tranche Corp. uses the effective-interest method of amortization. a. Prepare the necessary journal entries to record the issuance of the bonds and the first interest payment. b. Determine the carrying value of the bonds on December 31,2017.(4+4+2=10) ii) Write a note on the cash conversion cycle