Business, 27.08.2020 09:01 ishrael2001

The authorized service center is located in Boston. Because Cookie Creations values serving its customers, it pays the shipping to Boston for any mixers needing repair under Kzinski’s warranty terms. Based on past experience, Kzinski has found that approximately 10% of mixers are returned for repair or replacement. The average cost to ship a mixer to Boston is $60.The following transactions take place in 2020 and 2021.1. A total of 30 mixers are sold in 2020.2. Four of the mixers sold in 2020 are returned for repair in 2021. The total shipping cost for returning these four mixers to Boston is $210.3. A total of 40 mixers are sold in 2021.4. Two of the mixers sold in 2021 are returned for repair in 2021. The total shipping cost for returning these two mixers to Boston is $55.Calculate Cookie Creations’ warranty liability for the shipping costs at December 31, 2020.Warranty liability $

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