On October $29.$ Lobo Company began operations by purchasing razors for resale. The razors have a $90-$day warranty. When a razor is returned, the company discards it and mails a new one from Merchandise Inventory to the customer. The company's cost per new razor is $$20$ and its retail selling price is $$75.$ The company expects warranty costs to equal $8\%$ of dollar sales. The following transactions occurred.

Novenber $11$ Sold $185$ razors for $$7,875$ cash.

November $36$ Recognized warranty expense related to November sales with an adjusting entry.

$,$December $9$ Replaced $15$ razors that were returned under the warranty.

December $16$ Sold $220$ razons for $$16,500$ cash.

December $29$ Heplaced $36$ razors that were returned under the warranty.

Decenter $31$ Recognized warranty expense related to December sales with an adjusting entry.

$,$January $5$ Sold $150$ razors for $$11,250$cash.

$,$January $17$ Replaced $50$ razors that were returned under the warranty.

$,$January $31$ Recognized warranty expense related to January sales with an adjusting entry.

$4.$ What is the balance of the Estimated Warranty Liability account as of December $31?$

Estimated warranty liability balance