An entity offers a 2 year warranty program on all the products is sells. They estimate that warranty costs will equal 2% of sales in the first year of the warranty and 1 % of sales in the second year of the warranty. In the first year, total sales amounted to $3477248. Warranty costs incurred to service products under warranty was $32450. What is the warranty expense for the first year? Select one: 104317 71867 69545 32450