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Broken Limited sets up a warranty provision each year, and last year it was $250,000. Historically they have found 65% of televisions have no faults, 25% have minor faults and the remainder have to be replaced. The associated costs based on this year’s sales would be: All Minor repairs $450,000 All replaced $900,000 What would be the double entry made in regards to the warranty provision this year? A DR Warranty Expense $202,500 CR Warranty Provision $202,500 B DR Warranty Provision $202,500 CR Warranty Expense $202,500 C DR Warranty Provision $47,500 CR Warranty Expense $47,500 D DR Warranty Expense $47,500 CR Warranty Provision $47,500 |