Exercise 18-26 (Part Level Submission) On January 2, 2020, Blue Company sells production equipment to Fargo Inc. for $54,000. Blue includes a 2-year assurance warranty service with the sale of all its equipment. The customer receives and pays for the equipment on January 2, 2020. During 2020, Blue incurs costs related to warranties of $940. At December 31, 2020, Blue estimates that $680 of warranty costs will be incurred in the second year of the warranty. v (a) Prepare the journal entry to record this transaction on January 2, 2020, and on December 31, 2020 (assuming financial statements are prepared on December 31, 2020). (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, Collapse question part pr the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT Attempts: 0 of 5 used SAVE FOR LATER SUBMIT ANSWER (b) The parts of this question must be completed in order. This part will be available when you complete the part above