Response to the following problem:
The notes to recent financial statements of Xerox Corporation disclosed the following tabular information regarding restructuring charges. (Assume all restructuring charges were for employee termination benefits.)
(in millions)
Ending balance, December 31, 2003 $221
Provision (net) 85
Charges against reserve (189)
Ending balance, December 31, 2004 $117
a. What amount is shown on the December 31, 2004, balance sheet for the total estimated restructuring obligation?
b. Provide the journal entry for the 2004 restructuring charge.
c. Provide the journal entry for the employee termination benefit payments in 2004.