On October 29, Lobo Co. 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 $14 and its retail selling price is $70. The company expects warranty costs to equal 7% of dollar sales. The following transactions occurred. Nov. 11 Sold 60 razors for $4,200 cash. 38 Recognized warranty expense related to November sales with an adjusting entry. Dec. 9 Replaced 12 razors that were returned under the warranty. 16 Sold 188 razors for $12,680 cash. 29 Replaced 24 razors that were returned under the warranty. 31 Recognized warranty expense related to December sales with an adjusting entry. Jan. 5 Sold 128 razors for $8,480 cash. 17 Replaced 29 razors that were returned under the warranty. 31 Recognized warranty expense related to January sales with an adjusting entry. Prepare foumal entries to record above transactions and adjustments. View transaction lat Journal entry worksheet Record the sales revenue of 60 razors for $4,200 cash. Note: Enter debits before credits. Date General Journal Debit Credit Nov 11 Cash Record entry Clear entry View general Journal 2 How much warranty expense is reported for November and December? Warranty expense for November Warranty expense for December 3. How much warranty expense is reported for January? Warranty expense 4. What is the balance of the Estimated Warranty Liability account as of December 31? Estimated warranty liability balance 5. What is the balance of the Estimated Warranty Liability account as of January 31? Estimated warranty liability balance