On January 1, 2015, Lungdrin Cafe sold 30,000 espresso machines at $50 each, which included a one-year warranty on parts and service if a defective machine was returned to Lungdrin Cafe . Lungdrin Cafe estimated that 6 percent of the machines would be returned for repair, incurring a repair cost of $35 per machine. During 2015, the company spent $45,000 on repairs. Lungdrin Cafe uses the sales warranty accrual method to account for its warranty obligations. What is the recorded unearned warranty revenue on January 1, 2015? A. $0 B. $54,000 C. $63,000 D. $45,000