Instructions

Fitzpatrick Co$.$ sold $$300,000$ of equipment during January under a one$-$year warranty. The cost to repair defects under the warranty is estimated at $6\%$ of the sales price. On August $15,$ a customer required a $$140$ part replacement plus $$43$ of labor under the warranty.

Required:

Provide the journal entry for $($a$)$ the estimated warranty expense on January $31$ for January sales on page $10$ of the journal and $($b$)$ the August $15$ warranty work on page $14$ of the journal. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for joumal explanations. Every line on a joumal page is used for debit or credit entries. CNOW joumals will automatically indent a credit entry when a credit amount is entered