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EZ Wheels Corporation manufactures kick scooters. The company offers a 1 year warranty on all scooters. During 2017, the company recorded net sales of 1,900

EZ Wheels Corporation manufactures kick scooters. The company offers a 1 year warranty on all scooters. During 2017, the company recorded net sales of 1,900 million. Historically, about 4% of all sales are returned under warranty ad the cost of repairing and or replacing the goods under warranty is about 30% of retail value. Assume that at the start of the year EZ Wheels balance sheet included an accrued warranty liability of 16.3 million and at the end of the year, the accrued warranty liability balance was 12.4 million. What was EZ Wheels Corporation's warranty expense?

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