Right Medical introduced a new implant that carries a five-year warranty against manufacturer's defects. Based on industry experience with similar product introductions, warranty costs are expected to approximate 3% of sales. Sales were $9 million and actual warranty expenditures were $38,750 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.) Answer is complete but not entirely correct. Beg. Bal. Warranty Liability 0 27,000 Warranty expenso 38,750 11,750 - 11.750 Actual expenditures End Bal.