Lake Computers is a leader in the computer industry with over $56 billion in sales each year. A recent annual report for Lake contained the following note Warranty We record warranty liabilities at the time of sale for the estimated costs that may be incurred under its limited warranty. Factors that affect our warranty liability include the number of installed units currently under warranty, historical and anticipated rates of warranty claims on those units, and cost per claim to satisfy our warranty obligation. Required: 1. Assume that estimated warranty costs for the current year are $500.5 million and that $411.9 million of warranty work was performed during the year. Provide the journal entries required to recognize warranty expense and the warranty services provided during the year. Assume that all warranty services were paid for with cash. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollar not in millions (i.e., 1,000,000 not 1.0).) View transaction list Journal entry worksheet Record warranty liability Note: Enter debits before credits. Date Debit Credit Dec 31 Record entry Clear entry View general journal Wendell Dougherty is a well-recognized brand in the entertainment industry with products ranging from broadcast media to parks and resorts. The following note is from a recent annual report: Revenue Recognition For non-expiring, multi-day tickets to our theme parks, we recognize revenue over a three-year period based on estimated usage patterns which are derived from historical usage patterns. 2. Assume that in the current year, Wendell Dougherty collected $91.5 million in multi-day tickets that will be used in the future. Also in the current year, Wendell Dougherty estimates that $5.52 million worth of multi day tickets that have been sold in the past will not be used (e.g., they have been lost by customers). Provide the journal entries required to recognize (a) the receipt of the $91.5 million in cash and (b) the $5.52 million that Wendell Dougherty estimates will not be used. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollar not in millions (i.e., 1,000,000 not 1.0).) View transaction list Journal entry worksheet Record the receipt of the $91.50 million in cash. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal The following information applles to the questions displayed below On January 1, Boston Company completed the following transactions use a 7% annual interest rate or all transactions provided.) g 0 0 and 0 ) Use the appropriate factor s etables om a. Borrowed $117,800 for six years. Will pay $7,400 interest at the end of each year and repay the $117,800 at the end of the 6th year. b. Established a plant remodeling fund of $492100 to be available at the end of Year 7. A single sum that will grow to $492,100 will be deposited on January 1 of this year c. Agreed to pay a severance package to a discharged employee. The company will pay $76,400 at the end of the first year, $113,900 at the end of the second year, and $151,400 at the end of the third year. d. Purchased a $177,000 machine on January 1 of this year for $35,400 cash. A five-year note is signed for the balance. The note will be paid in five equal year-end payments starting on December 31 of this year. References Section Break P9-11 Computing Present Values LO9-7, 9-8 value: Required information 15.00 points P9-11 Part 1 Required: 1. In transaction (a), determine the present value of the debt. (Round your answer to nearest whole dollar.) t value 2-a. In transaction (b), what single sum amount must the company deposit on January 1 of this year? (Round your answer to nearest whole dollar.) 2-b. What is the total amount of interest revenue that will be eaned? (Round your answer to nearest whole dollar.) References eBook & Resources Worksheet P9-11 Part 2 3. In transaction (c), determine the present value of this obligation. t value References eBook&Resources Worksheet P9-11 Part 3 5.15.00 points value: P9-11 Part 4 4-a. In transaction (d), what is the amount of each of the equal annual payments that will be paid on the note? payments 4-b. What is the total amount of interest expense that will be incurred? t expens