Clement Co. has a year-end of December 31. The company estimates its annual warranty expense to be 2% of annual sales. On December 31, 2019, the warranty liability account had a credit balance of $6,800. In 2020, Clement made $395,000 in sales and incurred $9,300 in warranty costs. In 2021, Clement made $428,000 in sales and incurred $7,280 in warranty costs. What is the ending balance in the warranty liability account on December 31, 2021?

Question 2 options:

	$23,260
	$5,400
	$6,680
	$16,460