In 20X1, Stevens Corp. began a new product line of wearable technology that carries a 24-month warranty against manufacturer defects. Based on industry experience, Stevens expects warranty costs to be an amount equal to approximately 9% of total sales dollars During 20x1, new sales of this technology totaled $3,000,000. The costs incurred to satisfy warranty claims in 20X1 was $95,000. Required: Answer the following two questions. Question # 1: What should Stevens report as the warranty Expense balance on ts 2 X1 income statement? Answer Question #2: What should Stevens report as the warranty Liability' balance on its balance sheet at 1231/XI