Required information Problem 9-4A (Algo) Estimating warranty expense and liability LO P4 [The following information applies to the questions displayed below.] On October 29, Lobo Company began operations by purchasing razors for resale. The razors have a 90 -day warranty. When a razor is returned, the company discards it and mails a new one from Merchandise Inventory to the customer. The company's cost per new razor is $15 and its retail selling price is $80. The company expects warranty costs to equal 7% of dollar sales. The following transactions occurred. November 11 5old 60 razors for $4,800 eash. November 30 Recognized warranty expense related to November sales with an adjusting entry. December 9 Replaced 12 razora that were returned under the warranty. December 16 \$old 180 razorn for $14,400 cash. December 29 Replaced 24 razorn that were returned under the warranty. December 31 Recognized warranty expense related to December nalen with an adjusting entry. January 5 sold 120 razors for $9,600 cash. January 17 Replaced 29 razora that were returned under the warranty. January 31 recognized warranty expense related to January sales with an adjusting entry. Problem 9-4A (Algo) Part 2 2. How much warranty expense is reported for November and for December