$$In $2020,$ Burnaby Bikes manufactured and sold $$5,000,000$ of high end speciality

$$performance road bikes.

$$Burnaby Bikes provides a three year warranty on each new bike they sell

$$Estimated cost of the warranty obligation will be $1\%$ of sales in each of the first two years

$$and $2\%$ of sales in the third year following the sale.

Journal Entry to recognize the provision in $2020?$