Dawson Company sells fax machines. During 1999, the company sold 2,000 fax machines. The company estimates that \(5 \%\) of the machines require repairs under warranty. To date, 30 machines have been repaired. The estimated average cost of warranty repairs per defective fax machine is \(\$ 200\). The required amount of the adjusting entry to record estimated product warranty payable is:

a. \(\$ 400,000\).

b. \(\$ 6,000\).

c. \(\$ 14,000\).

d. \(\$-0\)