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The beginning warranty liability was $25,000. Sales of $5,000,000 were made, and 2% of sales is the estimated warranty cost.

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(Multiple Choice)The beginning warranty liability was $25,000.  Sales of $5,000,000 were made, and 2% of

sales is the estimated warranty cost.  The ending balance of the warranty liability was $35,000 (credit).  How much warrant work was performed?

A.   $10,000. B.   $90,000. C.   $100,000. D.   $110,000. E.   None of these.

 
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