GladiatorGladiator USA guarantees tires against defects for five years or 60,000 miles, whichever comes first. Suppose GladiatorGladiator USA can expect warranty costs during thefive-year period to add up to 4% of sales. Assume that a GladiatorGladiator USA dealer in St. Paul, Minnesota, made sales of $626,000 during 2016. GladiatorGladiator USA received cash for 30% of the sales and took notes receivable for the remainder. Payments to satisfy customer warranty claims totaled $19,600 during 2016.a. What amount of warranty expense will GladiatorGladiator USA report during 2016?b. Which accounting principle addresses this situation? (cost, expense recognition, objectivity characteristic, or revenue-recognition)c. Does the warranty expense for the year equal the year's cash payments for warranties? (does not equal or equals)d. Explain the relevant accounting principle as it applies to measuring warranty expense. Cash payments for warranties (do determine or do not determine) the amount of warranty expense for that year. The warranty expense is (based on actual cash payments or estimated and matched against cash sales or estimated and matched against credit sales or estimated and matched against total sales) during the period of the sale
Answers: 3
Business, 22.06.2019 18:00, theflash077
Large public water and sewer companies often become monopolies because they benefit from although the company faces high start-up costs, the firm experiences average production costs as it expands and adds more customers. smaller competitors would experience average costs and would be less
Answers: 1
Business, 22.06.2019 19:00, princessbri02
In 1975, mcdonald’s introduced its egg mcmuffin breakfast sandwich, which remains popular and profitable today. this longevity illustrates the idea of:
Answers: 1
Business, 23.06.2019 02:20, chaanah
The director of the federal trade commission (ftc) bureau of consumer protection warned that the agency would bring enforcement action against small businesses that select one: a. failed to inform the public about network failures in a timely manner b. failed to transmit sensitive data c. did not report security breaches to law enforcement d. lacked adequate policies and procedures to protect consumer data.
Answers: 2
GladiatorGladiator USA guarantees tires against defects for five years or 60,000 miles, whichever co...
Social Studies, 21.06.2019 15:30
Mathematics, 21.06.2019 15:30
Mathematics, 21.06.2019 15:30