The Hwang Candy Corporation (HCC) offers a mini piggy bank as a premium for every five chocolate bar wrappers that customers send in along with $2.00. The chocolate bars are sold by HCC to distributors for $0.30 each. The purchase price of each piggy bank to HCC is $1.80; in addition, it costs $0.50 to mail each bank. The results of the premium plan for the years 2017 and 2018 are as follows (all purchases and sales are for cash):

Instructions
(a) Prepare the journal entries that should be made in 2017 and 2018 to record the transactions related to HCC's premium plan using the expense approach under ASPE.
(b) Indicate the account names, amounts, and classifications of the items related to the premium plan that would appear on HCC's statement of financial position and the income statement at the end of 2017 and 2018.
(c) For each liability that you identified in part (b), indicate whether it is a financial liability and, if so, why.
(d) What additional information would you need to record the transactions of HCC's premium promotional plan, assuming the revenue approach had been followed in accordance with IFRS?

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2017 250,000 2018 Mini piggy banks purchased Chocolate bars sold Wrappers redeemed 2017 wrappers expected to be redeemed in 2018 2018 wrappers expected to be redeemed in 2019 330,000 2,895,400 2,743,600 1200,000 500,000 350,000