Question: Question 3 - Warranty Payable During 2 0 1 7 , Cougar Manufacturing launched a new product carrying a one - year warranty against defects.

Question 3-Warranty Payable
During 2017, Cougar Manufacturing launched a new product carrying a one-year warranty against defects. The estimated warranty costs related to dollar sales are 3% within 12 months following the sale. Sales and actual warranty claim for the years ended December 31,2017 are as follows:
2017
Sales
Claims
$400,000
$19,000
Prepare the journal entry at December 31,2017 to estimate the warranty liability on the sales.
Prepare the journal entry at December 31,2017 to record the actual claims.
Question 3-Warranty Payable During 2017, Cougar Manufacturing launched a new product

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