Question $10$

$2$ pts

ABC sells products to customers with a warranty. Customers can return the products to ABC for a free replacement within $90$ days of purchase. During April $2022,$ ABC sold $1,500$ products to customers. During May, ABC sold $1,800$ products to customers. Based on past sales, ABC estimates that $5\%$ of all products sold will be returned for a free replacement. The products cost ABC$$20$ to produce and they are sold for $$35$ per item. During April, $100$ products were returned and during May, $120$ items were returned. As of March $31,2022,$ ABC's Warranty Liability had a credit balance of $$12,000.$

What is the impact on the May income statement from the sale of the $1,800$ products $($calculate the net impact of any revenues minus any expenses$)?$

If the impact on the income statement is positive, enter a positive number. If the impact on the income statement is negative, place a negative sign in front of the number. If there is no impact, enter a zero. Do not use dollar signs or commas.