Blackberry 2012 Annual Report Download - page 160

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Research In Motion Limited
Notes to the Consolidated Financial Statements
In millions of United States dollars, except share and per share data, and except as otherwise indicated
The Company estimates its warranty costs at the time of revenue recognition based on historical warranty claims experience and
records the expense in cost of sales. The warranty accrual balance is reviewed quarterly to establish that it materially reflects the
remaining obligation based on the anticipated future expenditures over the balance of the obligation period. Adjustments are
made when the actual warranty claim experience differs from estimates.
The change in the Company’s warranty expense and actual warranty experience from February 28, 2009 to March 3, 2012 as
well as the accrued warranty obligations as at March 3, 2012 are set forth in the following table:
39
12. PRODUCT WARRANTY
Accrued warrant
y
obli
g
ations as at Februar
y
28, 2009
$184
Actual warrant
y
ex
p
erience durin
g
fiscal 2010
(416)
Fiscal 2010 warrant
y
p
rovision
463
Ad
j
ustments for chan
g
es in estimate
21
Accrued warrant
y
obli
g
ations as at Februar
y
27, 2010
252
Actual warrant
y
ex
p
erience durin
g
fiscal 2011
(657)
Fiscal 2011 warrant
y
p
rovision
806
Ad
j
ustments for chan
g
es in estimate
58
Accrued warrant
y
obli
g
ations as at Februar
y
26, 2011
459
Actual warrant
y
ex
p
erience durin
g
fiscal 2012
(685)
Fiscal 2012 warrant
y
p
rovision
622
Ad
j
ustments for chan
g
es in estimate
12
Accrued warrant
y
obli
g
ations as at March 3, 2012
$408