10 Das Medical introduced a new implant that carries a five-year warranty against manufacturer's defects. Based...

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10 Das Medical introduced a new implant that carries a five-year warranty against manufacturer's defects. Based on industry experience with similar product introductions, warranty costs are expected to approximate 3% of sales. Sales were $9 million and actual warranty expenditures were $38,750 for the first year of selling the product. Complete the following T-account to determine the amount (if any) Das should report as a liability at the end of the year. Note: Enter your answers in whole dollars. Answer is not complete. Warranty Liability Debit Credit Beginning Balance 0 0 -11,750 x Warranty expense Actual expenditures 38,750 Ending Balance 27,000 -27,000 10 Das Medical introduced a new implant that carries a five-year warranty against manufacturer's defects. Based on industry experience with similar product introductions, warranty costs are expected to approximate 3% of sales. Sales were $9 million and actual warranty expenditures were $38,750 for the first year of selling the product. Complete the following T-account to determine the amount (if any) Das should report as a liability at the end of the year. Note: Enter your answers in whole dollars. Answer is not complete. Warranty Liability Debit Credit Beginning Balance 0 0 -11,750 x Warranty expense Actual expenditures 38,750 Ending Balance 27,000 -27,000