Apr 18, 2024 · In March, we presented the Top 100 Warranty Providers of 2023, and some information about the biggest increases and reductions in the warranty claims rates, accrual rates, and reserve …

Apr 28, 2025 · Historically, it has experienced a warranty cost of 1% of revenues, and so records a warranty expense based on that information. However, the company has just developed a plastic …

Whether you’re a small business owner, customer support executive, or a warranty service provider, this tracker helps keep everything organized—no special software required.

Oct 1, 2025 · Different warranty types require distinct accounting treatments: Understanding the nuances of assurance-type and service-type warranties is crucial for accurate revenue recognition …

Explain the difference between a warranty that is a revenue performance obligation (purchased separately or extended) and a contingent guarantee. Account for the liability and expense incurred …

Mar 30, 2025 · Warranty accounting is a critical aspect of financial management for businesses that sell products with service guarantees. It involves estimating and recording the expenses that a company …

In practice, warranty claims are unlikely to exactly match historical warranty percentages, which is why some adjustments to the warranty liability account will be made from time to time.

Mar 16, 2023 · With 99% of companies reporting, we begin to look at the annual 2022 warranty data, and present our new series of 20-year charts. Warranty claims, accrual, and reserves totals continue …

You also will undoubtedly be offered an extended warranty on the product at an additional cost, referred to as a service-type warranty. In most cases, service-type warranties provide the customer a service …

Jun 6, 2025 · In this article, we discuss what warranty accounting is, what warranty expenses are and how to calculate a warranty expense account with an example for more insight.