Hipster guarantees its snowmobiles for three years. Company experience indicates that warranty costs will be approximately 7% of sales. Assume that the Hipster dealer in Colorado Springs made sales totaling $400,000 during 2018. The company received cash for 10% of the sales and notes receivable for the remainder. Warranty payments totaled $25,000 during 2018. Read the requirements. Begin with the entry to record the sales. (Prepare a single compound entry for this transaction.) Date Accounts and Explanation Debit Credit 2018 Requirements 1. Record the sales, warranty expense, and warranty payments for the company. Ignore cost of goods sold. 2. Assume the Estimated Warranty Payable is $0 on January 1, 2018. Post the 2018 transactions to the Estimated Warranty Payable T-account. At the end of 2018, how much in Estimated Warranty Payable does the company owe? Record the warranty expense. Date Accounts and Explanation Debit Credit Print Done 2018 Choose from any list or enter any number in the input fields and then continue to the next