Problem 3(12 marks) Assume Company A sales of $70,000 during the month of August and that company A extends its customers a 90 day warranty on all products sold. Company A estimates that its products will require warranty repairs at a rate of 1% of the sales amounts. II Record journal entry for the month of August Assume that during September of the same year, company A paid $450 to settle warranty claims filed by its customers. Record the journal entry Assume that instead of paying cash to settle warranty claims, company A had replaced the defective goods with new items Record the journal entry