Dynamo Corporation manufactures toasters. Each toaster comes with a $5-$year assurance$-$type warranty. The toasters sell for $$40$ each. During Year $1,$ Dynamo sells $500$ toasters, for cash. Past experience shows that the average warranty costs are $$5$ each or $$2,500$ for these toasters. In Year $1,$ Dynamo pays $$500$ cash for warranty costs on the toasters sold that year. Required: Prepare Dynamo$$s journal entries related to the sales and warranty in Year $1.$