Smart Technology, Inc. was organized to sell a single product for $1,200 per unit, including a 60-day warranty against defects. Engineering estimates indicate that 5% of the units sold will prove defective and require an average repair cost of $100 per unit. During the first month of operations, total sales were $408,000. Nine units sold in the first month were found defective and repaired that month. The accrued liability for product warranties at month-end should be:

	A.	$1,700
	B.	$2,300
	C.	$ 800
	D.	$ 900