Callaho Inc, extends a lifetime warranty on all lamps sold. Using past experience, the company estimates that 5% of lamps sold will be retumed and replaced at an average cost of $10 per lamp On January 1 2014, the balance in Callaho Inc.'s Estimated Warranty Liability account was $8,000 During 2014, sales totalled 5620,000 or 15,500 lamps. The actual number of lamps returned and replaced was 742. (1) Prepare the following Journal entries. Estimated warranty liabilities for units sold during 2014. Use the date December 31. Replacement of the units returned in 2014 (use the date December 31). Enter an appropriate description, and enter the dates in the format dd/mmm (le. 15/Jan) General Jounal Page GT Account/explanation Debit Credit Date (2) Calculate the balance in the Estimated Warranty Liability account at December 31, 2014 and the Warranty Expense that will appear on the income statement for the year-ended December 31, 2014 Balance of Estimated Warranty Liability at Dec 31? Warranty Expense as it appears on the income Statement