Required information [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 $60. The company expects warranty costs to equal 6% of doilar sales. The following transactions occurred. November 11 Sold 60 razors for $3,600 cash. Novesber 30 Recognized varranty expense related to November sales with an adjusting entry. December 9 Replaced 12 razorn that were returned under the warranty. December 16 sold 180 razors for $10,900 cash. December 29 Replaced 24 razors that were returned under the warranty. Decerber 31 Recognized warranty expense related to becember sales with an adjusting entry. January 5 Sold 120 raxors for $7,200 cash. January 17 Replaced 29 razors that were returned under the warranty. January 31 Recognized warranty expense related to January balos with an adjusting entry. 3. How much warranty expense is reported for January