AE 18 — Intermediate Accounting II, Topic 1

Premiums, Warranty and Provisions

Accounting for and calculating the estimated current liabilities and its corresponding
expenses

Miles N.M. Santos, CPA

Faculty — College of Business, Management and Accountancy
Colegio de la Purisima Concepcion
Where there is separate cost for the premiums to be redeemed
Where the premiums are included in the transaction price
Accounting for warranties
Guidelines in provisions