For the question below the right answer is C,however My answer is B.Not sure how expense for 2004 is 150k and not 30 k.

Crenshaw Corporation sells widgets. Each widget carries a multi-year warranty. Crenshaw estimates the cost of warranty work to be 3% of current sales. 20X4 sales was $5 million and $30,000 was spent on warranty work during 20X4. The balance in Estimated Warranty Liability at 12-31-X3 was $70,000. What is the balance in Estimated Warranty Liability at 12-31-X4 and the balance in Warranty Expense for 20X4, respectively? a. $150,000; $ 30,000 b. $190,000; $ 30,000 c. $190,000; $150,000 d. $120,000; $150,000 e. None of the above