What is res estimated warranty payable

Reference no: EM131972045

Problem

Roy Electric (RE) owed Estimated Warranty Payable of $1, 200 at the end of 2015. During 2016, RE made sales of $110,000 and expects product warranties to cost the company 2% of the sales. During 2016, RE paid $2, 700 for warranties. What is RE's Estimated Warranty Payable at the end of 2016?

Reference no: EM131972045

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