Felix Sales,Inc

question 149

Essay

Felix Sales,Inc.offers warranties on all its electronic goods.Warranty expense is estimated at 3.5% of sales revenue.In 2017,Felix had sales of $333,000.In the same year,Felix replaced defective goods with merchandise inventory costing $8,750.Prepare the journal entry to record the warranty expense.

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Definitions:

Purkinje Cell

Distinctively shaped interneuron found in the cerebellum.

Interneuron

An interneuron is a type of neuron that transmits signals between sensory and motor neurons, playing a critical role in reflexes and neuronal circuits.

Sensory Neurons

Neurons responsible for converting external stimuli from the environment into internal electrical impulses for the brain to interpret as sensations.

Interneurons

Neurons that transmit signals between other neurons, especially as part of reflexes or neural networks.