Question

Jenny opens the store and, she sells several boomerangs (sold 616 at the price of $180) on account. Jenny warrantees the boomerangs for one year. She estimates that 5% of the boomerangs sold will need warrantee service and that the repairs should, on average cost $30 per repair. the original price of is $54. record the necessary journal entries for the sale, COGS and warrantee.  

Answer 1