Rabs Corporation manufactures high-end home electronic systems. The entity provides a one-year warranty for all products sold. The entity estimates that the warranty cost is P200 per unit sold and reported a liability for estimated warranty cost of P650,000 at the beginning of the year. During the current year, the entity sold 5,000 units for a total of P9,000,000 and paid warranty claims of P750,000 on current prior year sales. What is the warranty liability at year-end? 2. In 2020, Curious Company began selling new line of products that carry a two- year warranty against defects. Based on past experiences with other products, the entity estimated warranty costs as a percentage of peso sales. First year of warranty Second year of warranty Sales Actual warranty costs 2020 5,000,000 100,000 2% 5% 2021 7,000,000 300,000 What is the warranty expense for 2020? What is the warranty liability on December 31, 2020? What is the warranty expense for 2021? What is the warranty liability on December 31, 2021?