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Accounting effects of product recall

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This is the question:
Research a company which has recently had a product recalled. Explain the purpose of the recall and the accounting effects.
I went to:
http://www.recalls.gov/recent.html
and chose:
US Consumer Product Safety Commission - Recent Recalls and Product Safety News
Byer California Recalls Girls' Jackets with Drawstrings Due to Strangulation Hazard...
http://www.cpsc.gov/cpscpub/prerel/prhtml10/10161.html

Please help me with what the accounting effects would be. Thank you.

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Solution Summary

The solution explains the accounting effects of a product recall

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When a product recall is done, it is not taken as a sale reversal. The sales have been made earlier. A product recall is treated as an expense and a liability created.
A product recall ...

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