Hall Company sells merchandise with a one-year warranty. In the current year, sales consisted of 4,009 units. It is estimated that warranty repairs will average $10 per unit sold, and 30% of the repairs will be made in the current year and 70% in the next year. In the current year's income statement, Hall should show warranty expense of a.$0 b.$28,063 c.$40,090 d.$12,027