Bagley invests personally owned equipment, which originally cost $223200 and has accumulated depreciation of $60200 in the Bagley and Eggers partnership. Both partners agree that the fair value of the equipment was $119500. The entry made by the partnership to record Bagley’s investment should be

Right medical introduced a new implant that carries a five-year warranty against manufacturer’s defects. based on industry experience with similar product introductions, warranty costs are expected to approximate 2% of sales. sales were $8 million and actual warranty expenditures were $42,750 for the first year of selling the product. what amount (if any) should right report as a liability at the end of the year?