Mariano Corporation sells 13,000 units of inventory during the first year of operations for $300 each. Mariano provides a one-year warranty on parts. It is estimated that 2% of the units will be defective and that repair costs are estimated to be $30 per unit. In the year of sale, warranty contracts are honored on 60 units for a total cost of $1,800. What amount will be reported as Estimated Warranty Liability at the end of the year? O A. $7,800 O B. $1,800 OC. $6,000 OD. 51,080