Merleau Entertainment sells televisions and other sound and video equipment. Sales and expected warranty claims for the year are as follows: Expected Warranty Claims for Warranty Period 2 claims per 100 sold 5 claims per 100 sold 1 claim per 100 sold Item Unit Sales Cost per Claim Televisions DVD Speakers Required: 2,500 360 700 $45 15 25 1. Prepare the entry to record warranty expense for Merleau Entertainment for the year. Dec. 31 Warranty Expense Warranty Liability (Record warranty expense)