Right Medical Introduced a new Implant that carries a five-year warranty against manufacturer's defects. Based on industry experience with similar products introductions, warranty costs are expected to approximate 2% of sales. Sales were $21 million and actual warranty expenditures were $31, 750 for the first year of selling the product. What amount (if any) should Right report as a liability at the end of the year? (Enter your answers in whole dollars.)