16 of 24 2:21:48 2 Nance Company estimates that its annual warranty expense is 4% of net sales. The following information relate to calendar year 2020. Marks Net sales: Unadjusted balance of Provision for Product Warranty: $1,500,000 10,000 Debit The adjusted ending balance of Provision for Product Warranty should be: O A $60,000 OB. $70,000 OC. $50,000 OD. Some other amount that depends on the cost of repairs in 2020 under the warranty. sure 17 of 24 2:21:45 The machine should be recorded at a cost of: 2 Mark O A $800,000 O B. $600,000 OC. $890,000 Unsure D. $718,400 18 of 24 2 2 The interest expense that should be reported on the statement of earnings for the fiscal year ending on April 30, 2022 equals ME O A $25,920 OB. $30,000 C. $35,920 OD. Zero because the note payable is a non-interest bearing note. sure