Franconia Sales Offers Warranties on All Their Electronic Goods $$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline\end{array}$$

question 100

Essay

Franconia Sales offers warranties on all their electronic goods.Warranty expense is estimated at 2% of sales revenue.In 2014,Franconia had $500,000 of sales.In the same year,Franconia paid out $7,500 of warranty payments.Please provide the journal entry to record the disbursement of warranty payments.
$$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline\end{array}$$

---

Definitions:

Impersonal Journalism

A style of journalism that prioritizes objectivity and factuality, minimizing the influence of personal bias.

Formal Writing Style

A style of writing characterized by a professional tone, proper grammar, and a clear structure, typically used in academic and business contexts.

Monotony

The uniformity or lack of variation that can lead to boredom or a lack of interest.

Humour

A quality that makes something laughable or amusing; often used to lighten the mood or enhance communication.