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 $14 and its retall selling price is $80. The company expects warranty costs to equal 9% of dollar sales. The following transactions occurred. November 11 sold 60 razors for $4,800 cash. November 30 Recognized warranty expense related to November sales with an adjusting entry. December 9 Replaced 12 razors that were returned under the warranty. December 16 sold 280 razoru for $14,400 canh. December 29 Replaced 24 razora that were returned under the varranty. December 31 Recognized warranty expense related to December malee with an adjuating entry. Janaary 5 sold 120 razora for $9,600 cash. January 17 Replaced 29 razora that were returned undex the warranty. January 31 lecognized warranty expense related to January sales with an adjusting entry. Problem 9-4A (Algo) Part 4 4. What is the balance of the Estimated Warranty Llability account as of December 31? 2. How much warranty expense is reported for November and for December