Question

low occurred during 2018: any, in Bigelow's general journal. Explanations are not required. Warranty Payable assuming a beginning balance of $0? 0 More Info urnal entri sactions, if any, in Bigelov irst cell in the "Accounts ngement lawsuit of $180,0 Apr. 30 ounts Jun 30 Jul. 28 Bigelow is party to a patent infringement lawsuit of $180,000. Bigelow's attorney is certain it is remote that Bigelow will lose this lawsuit Estimated warranty expense at 2% of sales of $410,000. Warranty claims paid in the amount of $6,000. Bigelow is party to a lawsuit for copyright violation of $70,000. Bigelow's attorney advises that it is probable Bigelow will lose this lawsuit. The attorney estimates the loss at $70,000. Bigelow estimated warranty expense on sales for the second half of the year of $520,000 at 2%. Dec. 31 Print Done mber in the input fields and then click Check Answer. Clear All

Answer 1

1 Journal Entries Date Particulars Debit Credit Apr-30 Warranty Expense A/c Dr 180000 To Estimated Warranty Payable A/C 180000 8200 Jun-30 Warranty Expense A/c Dr To Estimated Warranty Payable A/C (410000*2%) 8200 6000 Jul-28 Estimated Warranty Payable A/C To Cash A/C 6000 70000 Sep-30 Warranty Expense A/c Dr To Estimated Warranty Payable A/C 70000 10400 Dec-31 Warranty Expense A/c Dr To Estimated Warranty Payable A/C (520000*2%) 10400

Amount Balance Estimated Warranty Payable A/C Sno Particulars 1 Opening Balance 2 Estimated Warranty Payable A/c Apr-30 3 Estimated Warranty Payable A/C June-30 4 Estimated Warranty Payable A/C Jul-28 5 Estimated Warranty Payable A/c Sep-30 6 Estimated Warranty Payable A/c Dec-31 Balance Estimated Warranty Payable A/C 180000 8200 -6000 70000 10400 262600