If the estimated cost to repair a goal is $120, what would be the Warranty Liability at the end of the year? $0. $17,210. $22,560. $17,160.
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Strikers, Inc. sells soccer goals to customers over the Internet. History has shown that 4% of Strikers' goals will need repair under the warranty program. For the year, Strikers has sold 4,700 goals and 45 have been repaired.
If the estimated cost to repair a goal is $120, what would be the Warranty Liability at the end of the year?
-
$0.
-
$17,210.
-
$22,560.
-
$17,160.
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