Bombardier Inc. specializes in designing, developing, manufacturing, marketing and providing aftermarket support for three families of business jets: Global, Challenger and Learjet. The company offers warranties on all of its products. Note 2 to Bombardier's financial statements for fiscal year 2021 stated the following: Product warrantles A provision for assurance type warranties is recorded in cost of sales when the revenue for the related product is recognized. The Interest component associated with product warranties, when applicable, is recorded in financing expense. The cost is estimated based on a number of factors, including the historical warranty claims and cost experience, the type and duration of warranty coverage, the nature of products sold and in service and counter-warranty coverage available from the Corporation's suppliers. Claims for reimbursement from third parties are recorded if their realization is virtually certain. Product warranties typically range from one to five years. Selected Information from Bombardier's annual reports follows (amounts in millions of U.S. dollars): Revenues Provision for product warranties at year-end 166 2021 2020 6,085 6,487 154 2019 7,488 425 During fiscal year 2021 Bombardier paid $53 million to customers in exchange for defective returned products under the warranty. Required: 1. Compute the amount of warranty expense for fiscal year 2021. (Enter your answer in millions of dollars.) Warranty expense 2. Prepare Journal entries to record both the warranty expense for the year and the payments made under the warranty. (If no entry is required for a transaction/event, select "No journal entry required" In the first account field. Enter your answers in millions of dollars.) View transaction list 1 Record payments to customers in exchange for returned products. 2 Record entry to recognize warranty expense for the period. 3-a. Compute the ratio of the warranty liability to revenues for the three years. (Round percentage answers to 2 decimal places (l.e., 0.1243 should be entered as 12.43).) 2021 2020 2019 Ratio of the warranty liability to revenues 96 96 96 3-b. Has the ratio Increased or decreased during the three-year period? The ratio from 2019 to 2020, and from 2020 to 2021.