talks-a-lot inc. sells phones to customers and expects that 5% of phones sold will be returned for repair under its warranty program. the average repair costs $72 per phone. in 2024, talks-a-lot has sold 580 phones and repaired 12 of them as of 12/31/2024. what amount of warranty liability should be reported as of 12/31/2024?

a. $2088

b. $1224

c. $864

d. zero; all expected returns from warranties have been received

1434 Tolks A.Lot lncorporated selis cel phones to customers thd expects thut 5% of phones sold will be returned for repair under its wareanty program, The average repair cost is 372 per phone. For 2024, Taiks. A-tot hss sold 580 ced phones and has repwred 12 of them as of December 3t, 2024. What amount of warranty lobality should be reported at December 31,2024 ? (Do not round intermediate calculations) Mitgle Choce 52088 51224 1434 Tolks A.Lot lncorporated selis cel phones to customers thd expects thut 5% of phones sold will be returned for repair under its wareanty program, The average repair cost is 372 per phone. For 2024, Taiks. A-tot hss sold 580 ced phones and has repwred 12 of them as of December 3t, 2024. What amount of warranty lobality should be reported at December 31,2024 ? (Do not round intermediate calculations) Mitgle Choce 52088 51224