Hitzu Company sold a copier (that costs $3,500) for $7,000 cash with a two-year parts warranty to a customer on August 16 of Year 1. Hitzu expects warranty costs to be 5% of dollar sales. It records warranty expense with an adjusting entry on December 31. On January 5 of Year 2, the copier requires on-site repairs that are completed the same day. The repairs cost $122 for materials taken from the parts inventory. These are the only repairs required in Year 2 for this copier.

Analyze each of the following transactions: (a) the copiers sale; (b) the adjustment to recognize the warranty expense on December 31 of Year 1; and (c) the repairs that occur on January 5 of Year 2. Show each transactions effect on the accounting equationspecifically, identify the accounts and amounts (including + or ) for each. (Enter all amounts as positive value.)

Required information (The following information applies to the questions displayed below.) Hitzu Company sold a copler (that costs $3.500 ) for $7.000 cash with a two-year parts warranty to a customer on August 16 of Year 1. Hitzu expects warranty costs to be 5% of dollar sales. It records. warranty expense with an acjusting entry on December 31. On January 5 of Year 2, the copler requires on-site repairs that are completed the same day. The repalis cost \$122. for materials taken from the parts inventory. These are the only repairs required in Year 2 for this copier; Analyze each of the following transactionsi (a) the copler's sale; (b) the adjustment to recognize the warranty expense on Decemher Sf Year t; and (c) the repairs that occur on January 5 of Year 2 . Show each transaction's effect on the accounting equation-specilici dientify the accounts and amounts (including + of ) for each. (Enter all amounts as positive value.)