When a subsidy was in place, the price that Egyptian farmers received for their cotton was about $556 per bale, and these farmers produce about 525,000 bales per year. However, when the subsidies were removed, the cotton price received by farmers promptly dropped to $426 per bale and Egyptian farmers responded by reducing the amount of cotton produced, to 315,000 bales per year. The short-run price elasticity of supply was 1.92. We can expect that the long-run price elasticity of supply will be

Analyzing and computing accrued warranty liability and expense waymire company sells a motor that carries a 60-day unconditional warranty against product failure. from prior years' experience, waymire estimates that 2% of units sold each period will require repair at an average cost of $100 per unit. during the current period, waymire sold 69,000 units and repaired 1,000 units. (a) how much warranty expense must waymire report in its current period income statement? (b) what warranty liability related to current period sales will waymire report on its current period-end balance sheet? (hint: remember that some units were repaired in the current period.) (c) what analysis issues must we consider with respect to reported warranty liabilities?