Companies that offer warranties on their products record the warranty expense at the time they provide service to customers under the terms of the warranty.

Name: Companies that offer warranties on their products record the warranty expense at the time they provide service to customers under the terms of the warranty.
Brand: Quizplus
Rating: 4.8 (48 reviews)

Question

Quizplus · Accepted Answer

Companies record warranty expenses at the time of sale, not when the service is provided, to match the expense with the revenue generated from the sale.

Companies That Offer Warranties on Their Products Record the Warranty