Packard Co. was organized to sell a single product that carios a 45-day warranty against delocts. Engineering estimates indicate that 7% of the units soid wif prove defective and require an average repair cost of $55 per unt. During Packardy frst month of operations, total sales were 1,200 units, by the end of the month, fifteen defective units had been repaired The liability for product warranties at month-end should be A. 19825 B. 4.620 C. $3,795. D. 55,445