Albertson Corporation began a special promotion in July 2018 in an attempt to increase sales. A coupon was provided at various grocery stores upon checkout. Customers could send in five coupons to receive $3.00. Albertson's management estimated that 80% of the coupons would be redeemed. For the six months ended December 31, 2018, the following information is available: Required:
What is the estimated liability associated with the coupons at December 31, 2018?

Question

Albertson Corporation began a special promotion in July 2018 in an attempt to increase sales. A coupon was provided at various grocery stores upon checkout. Customers could send in five coupons to receive $3.00. Albertson's management estimated that 80% of the coupons would be redeemed. For the six months ended December 31, 2018, the following information is available:  Required:
What is the estimated liability associated with the coupons at December 31, 2018?

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The Answer of Albertson Corporation began a special promotion in July 2018 in an attempt to increase sales. A coupon was provided at various grocery stores upon checkout. Customers could send in five coupons to receive $3.00. Albertson's management estimated that 80% of the coupons would be redeemed. For the six months ended December 31, 2018, the following information is available:  Required:
What is the estimated liability associated with the coupons at December 31, 2018?

Albertson Corporation Began a Special Promotion in July 2018 in an Attempt