A company offers customers a two-year warranty for an additional $20 per unit on all inventory purchases. Assume that the warranty is allocated evenly. On January 1, customers purchase 30 units of inventory for $100 each where half of units have customers purchasing the warranty. If the company estimates warranty claims of $10 per unit and has $60 in actual warranty claims during the year, how much warranty revenue should be recognized at year-end? (Ch13)

22

	$90
	$150
	$60
	$300