Use the following information to answer questions 1 through 4. Brand Name, a Dec

Use the following information to answer questions 1 through 4. Brand Name, a December year-end Company sells photocopiers that come with a three-year warranty. From experience, the company estimates that the warranty cost will be $218 per a machine. The following information was taken from Brand Name’s financial report at the end of 2009. 2007 2008 2009 Photocopiers sold 2,100 2,320 2,415 Sale price per unit $16,430 $16,570 $16,614 Warranty costs incurred $134,200 $242,211 $285,350 What was the estimated warranty liability that should be reported by the Brand Name at December 31, 2007? $457,800. $134,200. $323,600. $330,804. If the actual warranty expense for 2008 was $124,351 and the Brand Name did not recognize any warranty liability for 2008, what was the adjusting entry that should be made at December 31, 2008? a.Warranty expense.………………505,760. Estimated warranty liability………381,409. Cash………………………………124,351. b.Warranty expense ……………….505,760. Estimated warranty liability……..505,760. c.Warranty expense……………….381,409. Estimated warranty liability……..381,409. d.Warranty expense ……………….505,760. Cash…………………………..….505,760. What was the estimated warranty liability that should be reported by the Brand Name at December 31, 2009? $241,120. $377,906. $526,470. $828,269. If the warranty was 1.25 percent of the sale price, what was the estimated warranty liability that should be reported by the Brand Name at December 31, 2009? $751,587. $1,413,348. $661,761. $587.751.