Panther Co. had a quality-assurance warranty liability of $353,000 at the beginning of 2018 and $317,000 at the end of 2018. Warranty expense is based on 3% of sales, which were $48 million for the year. What were the actual warranty costs for 2018? Multiple Choice $0. $1,404,000. $1,476,000. $1,440,000.