Assume that a manufacturing corporation has (1) good quality control, (2) a one-year operating cycle. (3) a relatively stable pattern of annual sales, and (4) a continuing policy of guaranteeing new products against defects for three years that has resulted in material but rather stable warranty repair and replacement costs. Any liability for the warranty should be reported as part current and part long-term. should be reported as current. should be reported as long-term. need not be disclosed