Early in 2020, concord equipment company sold 500 rollomatics at $6,500 each. during 2020, concord spent $20,000 servicing the 2-year assurance warranties that accompany the rollomatic. all applicable transactions are on a cash basis.
a) prepare 2020 entries for concord.
assume that concord estimates the total cost of servicing the warranties in the second year will be $40,000
b) prepare 2020 entries for concord assuming that the warranties are not an integral part of the sale (a service-type warranty).
assume that of the sales total, $61,000 relates to sales of warranty contracts. warranty costs incurred in 2020 were $20,000. estimate revenues to be recognized on a straight-line basis.

Salvador county issued $25 million of 5% demand bonds for construction of a county maintenance building. the county has no take-out agreement related to the bonds. it estimates that 20% of the bonds would be demanded (called) by the buyers if interest rates increased at least 1%. at year-end rates on comparable debt were 7%. how should these demand bonds be reported in the government-wide financial statements at year-end? a) $25 million in the long-term liability section of the governmental activities column. b) $5 million in the current liability section of the governmental activities column and $20 million in the long-term liabilities section of the governmental activities column. c) $5 million in the governmental activities column and $20 million would be reported in the schedule of changes in long-term debt obligations. d) $25 million in the current liability section of the governmental activities column

Suppose that in an economy the structural unemployment rate is 2.2 percent, the natural unemployment rate is 5.3 percent, and the cyclical unemployment rate is 2 percent. the frictional unemployment rate is percent and the actual unemployment rate (in this economy) is percent.

Gwen, a manager at exude apparels inc., received a message from a customer requesting a replacement for a purchased pair of shoes. exude apparels has a clearly stated no-return policy. gwen responded to the customer denying the request in a tactful and clear manner. despite this, the customer submitted a second request. in this scenario, which of the following is an appropriate response to the second request?