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Warranty is liability because by using this company assures the customer for any demages during warranty period so unless the warranty period is expires goods not concidered to be sold completely.
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What is the journal entry for selling 450000 in product sales and accrued 6 percent for warranty liability?
debit accounts receivable 450000credit sales revenue 450000debit warranty liability expenses 27000credit liability payable 27000
What is the journal entry for warranty expense charged against the revenue?
Debit Warranty Expense Credit Warranty Liability
What are contingent liabilities that are normally accrued?
A contingent liability which is normally accrued is estimated claims under a service warranty on new products sold.
Is Creditors an asset or liability?
Current Liability
How is a liability increased by a credit or debit?
Liability has credit balance as normal balance so credit increases the liability which means addition to current liability will increase the overall liability and reduction in liability will reduce overall liability.
What is the liability for product warranty claims is an example of a liability that?
Product warranty claims liability is an example of a liability that arises from a company's obligation to repair or replace products that are defective or do not meet the terms of the warranty. This liability represents the estimated cost of fulfilling these warranty claims and is recorded on the company's balance sheet as a potential expense that may need to be incurred in the future.
What is the journal entry for selling 450000 in product sales and accrued 6 percent for warranty liability?
debit accounts receivable 450000credit sales revenue 450000debit warranty liability expenses 27000credit liability payable 27000
What is the journal entry for warranty expense charged against the revenue?
Debit Warranty Expense Credit Warranty Liability
Where do you File warranties in bookeeping?
Companies must accrue estimated warranty expenses. The journal entry to accrue the expenses is a debit to warranty expense, and a credit to an accrued warranty liability account. When warranties are paid the debit is to the warranty liability account and the credit is to the cash or bank account.
What is the accounting entry for sales return under warranty?
The accounting entry for sales return under warranty is the accrued warranty liability. This entry is written under warranty expense.
What type of insurance do you need if you are starting an auto warranty company To cover the warranty in case you go out of business.?
Product Liability and General Insurance Liability and surety bonds with the states you underwrite in. Florida is the hardest state to sell warranties in.
Is there a warranty on the gps tracking watch?
Most companies default this GPS tracking watch with a one year limited liability warranty. This is available from the manufacturer, with no additional retail cost to you as a customer.
What is the journal entry for a warranty purchased in financial accounting?
The journal entry to record the purchase of a warranty in financial accounting would be to debit the Warranty Expense or Warranty Cost account and credit the Unearned Warranty Revenue account. This reflects the cost of providing the warranty coverage and defers the recognition of revenue until the warranty services are actually provided.
What are contingent liabilities that are normally accrued?
A contingent liability which is normally accrued is estimated claims under a service warranty on new products sold.
What are the terms and conditions of Barclaycard?
Barclaycard has a very long list of terms and conditions for usage. Some of these terms and conditions include no warranty, no liability and the terms of governing law.
Can an insurance warranty be included mid term on a public liability policy?
I don't really know what insurance "warranty" you are talking about. Any insurance policy can be changed during the policy period by a request from the insured. Basic terms of the policy are not usually changed until the renewal date.
What is the difference between consumer liability and debt collection issues?
Consumer liability is an area of civil law that provides consumers with remedies against manufacturers, distributors, and retailers who make, sell, or market faulty products. Questions in this category should be related to defective products, warranty concerns, and merchantability issues.Consumer liability does not mean the consumer is liable.Debt collection is a separate issue entirely from consumer liability and deals with repossession, foreclosure, and other methods used by creditors to collect money owed to them. These types of issues are not consumer liability questions.
