Recording and Reporting Warranties second 12 months following the sale. Sales and actual warranty expenditures for the years ended December 31 of Year 1 and Year 2 follow. Required a. Record the entries in Year 1 to (1) record actual cash warranty costs and (2) accrue for warranties at year-end. b. At December 31 Year 1, what would Ward report as estimated warranty liability on its balance sheet? \$ c. Record the entries in Year 2 to (1) record actual cash warranty costs and (2) accrue for warranties at year-end. d. At December 31 Year 2, what would Ward report as estimated warranty liability on its balance sheet? 79,800