White Hat Digital,Inc

question 45

Multiple Choice

White Hat Digital,Inc.starts the year with a credit balance of $3,000 in its Estimated Warranty Payable account.During the year,there were $222,000 in sales and $4,900 in warranty repair payments.White Hat Digital estimates warranty expense at 2% of sales.At the end of the year,what is the balance in the Estimated Warranty Payable account?

• A)$4,440 debit
• B)$4,900 credit
• C)$3,000 debit
• D)$2,540 credit

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Definitions:

Commercial Software

Software developed and sold for profit, typically offering extensive customer support and regular updates.

Business Processes

Activities, procedures, and tasks that organizations perform to achieve business objectives effectively and efficiently.

Legislation In Canada

The body of laws and regulations enacted by the Government of Canada and provincial authorities.

Personal Information

Data related to an individual that can be used to identify them.