Current Liabilities Year End Adjustments You are a staff accountant for Hart Manufacturing. The controller has asked you to make year-end adjusting entries for the following items: a. Hart Manufacturing began operations in January 2021. Hart sells a product that carries a twoyear manufacturefs warranty against defects in workmanship. Hart's management projects that 5% of the units sold will require repair during the twoyear period. The units sell for $1,000 each. The average cash cost to repair a unit is $100. Hart sold 25,000 widgets on account in 2021 and incurred actual warranty expenditures of $15,000 (the actual warranty expenditures were debited to estimated warranty payable}. b. At December 31, 2021, Hart's unadjusted balance ofliability forcompensated absences was $10,000. Hart estimated that there were 100 total vacation days available at December 31, 2021. Hart's employees earn an average of$250 perday. c. Hart sold $4,000 in gift cards on a special promotion on October 15,2021. Ofthe cards sold in October, $900 were redeemed in October, $1,000 in November, and $900 in December. Hart views the probability of redemption ofa gift card as remote if the card has not been redeemed within two months. d. As of December 31, 2021, Hart Co. has estimated two different contingencies. Hart estimates it is probable that it will receive a gain contingency between $100,000 and $200,000. It is also probable that Hart will pay a loss contingency with the amount estimated to be between $250,000 and $300,000. Required: Prepare the necessaryjournal entries required as of December 31, 2021, Hart's year end. [Any entries during the year have already been made and are not required} DE bit Credit