On January 1, 2017, Crane Ltd, sold on account 1,000 units of its product for a total price of $545,000 with a warranty guarantee that the products were free of any defects. The products have a one-year assurance type warranty and Crane estimates that the cost will be $23, 600. The cost of the units is $481,000. in addition, the company sold extended warranties related to 700 units for a one-year period beyond the one-year period at a cost of $15, 900. By the company's year end. December 31, 2017, no warranty costs were incurred. By the company's year end, December 31, 2018, $9, 545 of warranty costs were incurred and paid is cash. Prepare the journal entries for 2017 and 2018