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1307 Best Buy sells refridgerators. Best Buy provides a 3 year warranty period. Past warranty records suggest that: 2% of sales will be repaired under

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1307 Best Buy sells refridgerators. Best Buy provides a 3 year warranty period. Past warranty records suggest that: 2% of sales will be repaired under warranty in the first year. 5% of sales will be repaired under warranty in the second year. 8% of sales will be repaired under warranty in the third year. During the year, Best Buy sold 5,831 refridgerators for $253 each. 30% of sales were on account. Best Buy cost of good sold is $123 each. Best Buy paid $280,000 in actualy warranty expenditures during the year Best Buy warranty expense for the year equals: O A. 29,505 OB. 107,582 OC. 221,286 OD. 280,000

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