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Harbour Company disclosed estimated product warranty payable for comparative years as follows: (in millions)...

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Accounting

Harbour Company disclosed estimated product warranty payable for comparative years as follows:
(in millions)
Current estimated product warranty payable
\table[[Current Year,Prior Year],[$12,057,$11,560,]]
Noncurrent estimated product warranty payable
Total
=7,334$19,391=$18,024
Assume that Harbour's sales were $142,199 million in current Year and that the total paid on warranty claims during the current year was $12,430 million.
a. The distinction between short- and long-term liabilities is important to creditors in order to accurately evaluate the near-term cash business relative to the quick current assets and other longer-term the
b. Provide the journal entry for the current Year product warranty expense. Enter your answers in millions. If an amount box does not require an entry, leave it blank.
c. What two conditions must be met in order for a product warranty liability to be reported in the financial statements?
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