Question: Please answer only 10 minutes left !!! Shefford Cutiery extends a lifetime replacement warranty on all units sold. Using past experience, the company estimates that

Please answer only 10 minutes left !!!  Please answer only 10 minutes left !!! Shefford Cutiery extends a
lifetime replacement warranty on all units sold. Using past experience, the company
estimates that 0.5% of units sold will be returned and require replacement

Shefford Cutiery extends a lifetime replacement warranty on all units sold. Using past experience, the company estimates that 0.5% of units sold will be returned and require replacement at an average cost of $102 per unit. On January 1,2020 , the balance in Shefford's Estimated Warranty Llability account was $16.800. During 2020, sales totalled $3,720.000 or 17.400 units. The actual number of units returned and replaced was 88 Required: a. Prepare the entry to estimate warranty liabilities based on the units sold for 2020 . Assume the adjustment is made on December 31. Journal entry worksheet Journal entry worksheet Record the replacement of units under warranty. Note: Enter debits before credits. c. Calculate the balance in the Estimated Warranty Liability account at December 31, 2020 . d. What is the warranty expense that will appear on the income statement for the year ended December 31,2020

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