Question

At January​ 1, 2019, the Accrued Warranty Payable is . During​ 2019, the company recorded Warranty Expense of . During​ 2019, the company replaced defective products in accordance with product warranties at a cost of . What is the Accrued Warranty Payable at December​ 31, 2019?

Answer 1

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Step-by-step explanation:

Answer 2

Answer: A.$8,800

Step-by-step explanation:

The Accrued Warranty Payable Balance for the year ending December 2019 will take into account the Warranty expenses that were old less the warranty expenses that have been paid for already with the formula;

= Opening Accrued Warranty payable + Warranty Expense recorded for the Year - Warranty Expenses Paid in the year

= 1,800 + 19,400 - 12,400

= $8,800