Grouper Corporation manufactures a line of amplifiers that carry a three-year warranty against defects. Based on experience, the estimated warranty costs related to dollar sales are as follows: first year after sale3% of sales; second year after sale4% of sales; and third year after sale5% of sales. Sales and actual warranty expenditures for the first three years of business were:

Sales Warranty Expenditures

2018 $870,000 $17,100

2019 1,010,000 48,400

2020 1,041,000 80,000

(a) Calculate the amount that Grouper Ltd. should report as warranty expense on its 2020 income statement and as a warranty liability on its December 31, 2020 SFP using the assurance-type warranty (expense-based approach). Assume that all sales are made evenly throughout each year and that warranty expenditures are also evenly spaced according to the rates above.

I need to calculate the warranty expense and warranty liability thanks