Estimated Warranty Liability ven Roasted Co. sold $344,000 of equipment during January under a six-month warranty. The cost to repair defects under the warranty is estimated at 4.5% of the sales price. On August 15, a customer required a $339 part replacement, plus $155 of labor under the warranty. Required: (a) Provide the journal entry for the estimated warranty expense on January 31 for January sales. Jan. 31 o (b) Provide the journal entry for the August 15 warranty work. If an amount box does not require an entry, leave it blank. Aug. 15 Quick Ratio Nabors Company reported the following current assets and liabilities for December 31 for two recent years: Dec. 31, Current Year Dec. 31, Previous Year Cash $1,450 $1,820 3,170 4,070 Temporary investments Accounts receivable 5,280 2,780 Inventory Accounts payable 2,380 6,600 2,300 5,100 Required: a. Compute the quick ratio on December 31 of both years. If required, round your answers to one decimal place. Quick Ratio December 31, current year December 31, previous year b. Is the quick ratio improving or declining