During 2016, Coronado Industries introduced a new line of machines that carry a three-year warranty against manufacturers defects. Based on industry experience, warranty costs are estimated at 1% of sales in the year of sale, 2% in the year after sale, and 3% in the second year after sale. Sales and actual warranty expenditures for the first three-year period were as follows:

		Sales			Actual Warranty Expenditures
2016			$1399000			$25000
2017			999000			40000
2018			1399000			90000
			$3797000			$155000

What amount should Coronado report as a liability at December 31, 2018?