Ragas, Inc. sold goods with a selling price of $50,000 in the 2017 and estimated 5% warranty expense for the year. Customers complained of defects, and goods with a cost of $1,500 had to be replaced. Which of the following is the correct journal entry for honoring the warranties with goods

.

Estimated Warranty Payable	1,500
Cash		1,500

B.

Estimated Warranty Payable	1,500
Warranty Expense		1,500

C.

Warranty Expense	1,500
Merchandise Inventory		1,500

D.

Estimated Warranty Payable	1,500
Merchandise Inventory		1,500