A company sells computers for $1,700 each. Each computer has a two-year warranty that covers replacement of defective parts. It is estimated that 2% of all computers sold will be returned under the warranty with an average cost of $188 each. During November, the company sold 49,000 computers;. 590 computers were serviced under the warranty during November at a total cost of $74,000. The balance in the Estimated Warranty Liability account at November 1 was $38,500. What is the company's warranty expense for the month of November?

$74,000

$184,240

$35,500

$110,920

$92,120