Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 1) farmers tool company sells lawn mowers with a 2

1) Farmers Tool Company sells lawn mowers with a 2-year service-type warranty. The warranty costs $99....

80.2K

Verified Solution

Question

Accounting

1) Farmers Tool Company sells lawn mowers with a 2-yearservice-type warranty. The warranty costs $99. On November 1, 2017,Farmers Tool Company sold 20 lawnmowers at $2,000 each. Tenwarranties were sold. On July 14, 2018, $500 is spent on warrantycosts. Prepare the journal entries related to the sale on November1st and for the warranty costs incurred on July 14th.
SHOW YOUR CALCULATIONS!!! Do not forget journal entrydescriptions.

2)

Diamond Corporation declared a cash dividend of $40,000 onDecember 1, 2017. Record the entry (if any) of this declaration. Donot forget journal entry descriptions.

3)

Victor Valentines offers a premium to its customers – glass rosevase (cost to Victor Valentines is $3 each) for the return of 10labels. Each box of chocolates sold contains a label. The companyestimates, based on past experience, that 65% of the labels will beredeemed. During 2018, one million boxes of chocolates were sold at$6 per box. During 2018, 350,000 labels were redeemed. VictorValentines purchased 50,000 glass rose vases on January 1,2018.

Prepare the journal entries for the sale of the boxedchocolates, the purchase of the premiums, the estimated premiumexpense, and the redemption of the labels. (15points)

Answer & Explanation Solved by verified expert
3.9 Ratings (611 Votes)
    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

in the second half of the 20th century, the city of phoenix, Arizona exploded in size....

Biology
1.2K views

Describe the shape of a viral particle?

Medical Sciences
1.2K views

Which of the following reflexes speeds-up (enhances) the movement of material along the GI tract? (in...

Finance
1.2K views

A bond has a par value of $1,000, a time to maturity of 10 years, and...

Psychology
1.2K views

How does the anatomy of hearing allow for us to hear pitch? In particular, what is...

Physics
1.2K views

23 A uniform rod of length I is kept vertically on a rough horizontal surface...

Basic Math
1.2K views

In a survey of 3194 adults aged 57 through 85 years, it was found that...

Basic Math
1.2K views

A certain radioactive element has a half-life of 35 days. If you had a 100...

Accounting
1.2K views

In Worksheet 2-1, we restricted our attention to the non-operative patients and computed...

Accounting
1.2K views

Troester Manufacturing produces products X, Y, and Z from a joint process. Each product can...

Accounting
1.2K views

Exercise 14-25 (Algorithmic) (LO, 4) Juan owned 200 shares of Circle Corporation stock (adjusted basis...

Accounting
1.2K views

Which of the following is a disadvantage of having cultural competency in your own culture?...