Harr Company began selling a new computer that carried a 1-year warranty against defects. Based on the

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Harr Company began selling a new computer that carried a 1-year warranty against defects. Based on the manufacturer's recommendations, Harr projects warranty costs at 3% of sales. Sales for 20X1 were $625,000.

Calculate the estimated warranty expense for 20X1.
Record the entry to reflect the warranty expense for 20X1.
Actual warranty expense for the first year of selling the new computer was $16,450. Record the entry to reflect the actual warranty expense for 20X2.
What is the ending balance in the warranty liability account at the end of 20X2?

Posted Date: May 14, 2024 05:20 AM

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Harr Company began selling a new computer that carried a 1-year warranty against defects. Based on the

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