Relay Company estimated that annual warranty expense at 2% of annual net sales. The net sales for 2021 amounted to P4,000,000. On January 1, 2021, the warranty liability was P60,000 and the warranty payments during 2021 totaled P50,000. What is the warranty liability on December 31, 2021? P10,000 P90,000 O P70,000 O P80,000
Relay Company estimated that annual warranty expense at 2% of annual net sales. The net sales for 2021 amounted to P4,000,000. On January 1, 2021, the warranty liability was P60,000 and the warranty payments during 2021 totaled P50,000. What is the warranty liability on December 31, 2021? P10,000 P90,000 O P70,000 O P80,000
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 9MC: Blake Department Store sells television sets with one-year warranties that cover repair and...
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