Feller, Inc. sells a certain machine for $35,000. Included in this price is an implied service contract of $950. Fifty machines were sold in 2014. Warranty claims incurred during 2014 amounted to $21,000. The company uses the sales warranty accrual method.
Required:
Prepare all 2014 journal entries required by the information above.

Question

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The Answer of Feller, Inc. sells a certain machine for $35,000. Included in this price is an implied service contract of $950. Fifty machines were sold in 2014. Warranty claims incurred during 2014 amounted to $21,000. The company uses the sales warranty accrual method.
Required:
Prepare all 2014 journal entries required by the information above.