On December 31, 2017, Davinder Company sells equipment to Tabor Inc. for $125,000. Davinder includes a 1-year assurance warranty service with the sale of all its equipment. The customer receives and pays for the equipment on December 31, 2017. Davinder estimates the prices to be $122,000 for the equipment and $3,000 for the cost of the warranty. Instructions (a) Prepare the journal entry to record this transaction on December 31, 2017. (b) Repeat the requirements for (a), assuming that in addition to the assurance warranty, Davinder sold an extended warranty (service type warranty) for an additional 2 years (20192020) for $2,000.