Landcaster Inc. offers a 2 year warranty on all of its products
Warranty. Since January 1, Year 1, Landcaster has sold 60 machines.
$2,500 per machine. These machines are identified by Landcaster.
Typically, each item sells for $2,275, and a Service Type Guarantee can be purchased.
Machines can be purchased for as low as $225. Landcaster pays $225 per machine in year 1.
Warranty costs up to $5,000
Landcaster Inc. offers a 2-year warranty on all of its products
Chart of Accounts
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Journal entries that need to be kept for records:
1. Account sales: 60 machines
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