Q2

Carpenter Inc. had a balance of $85,000 in its quality-assurance warranty liability account as of December 31, 2020. In 2021, Carpenter's warranty expenditures paid were $450,000. Its warranty expense is calculated as 1% of sales. Sales in 2021 were $40.5 million. What was the balance in the warranty liability account as of December 31,2021 ? $126,000.$490,000$44,000$448,000