In 2020, Oriole Company began selling a new line of products that carry a two-year warranty against defects. Based upon past experience with other products, the estimated warranty costs related to dollar sales are as follows:

First year of warranty		3%
Second year of warranty		5%

Sales and actual warranty expenditures for 2020 and 2021 are presented below:

		2020		2021
Sales		$755000		$1046000
Actual warranty expenditures		44000		70000

What is the estimated warranty liability at the end of 2021?(assume the accrual method)