Benitez Company had sales of $520,000 in Year 1. The company expects to incur warranty expenses amounting to 3% of sales. There were $12,300 of warranty obligations paid in cash during Year 1. Based on this information: a. Warranty expenses would decrease net earnings by $15,600 in 2016.
b. Cash would decrease by $12,300 as a result of the accounting events associated with warranties in 2016.
c. The warranties payable account would increase by $3,300 in 2016.
d. All of these answer choices are correct.

answera public company has access to more capital;

answer(b) equal; set period;

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.