Trail Runner guarantees its snowmobiles for three years. Company experience indicates that warranty costs will be approximately 5% of sales. Assume that the Trail Runner dealer in Colorado Springs made sales totaling $600,000 during 2024. The company received cash for 20% of the sales and notes receivable for the remainder. Warranty payments totaled $10,000 during 2024. Read the requirements. Requirement 1. Record the sales, warranty expense, and warranty payments for the company. Ignore cost of goods sold. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Begin with the entry to record the sales. (Prepare a single compound entry for this transaction.) Accounts and Explanation Date 2024 Cash Notes Receivable Sales Revenue To record sales for 2024. Debit Credit 120,000 480,000 600,000 I Record the warranty expense.. Date Accounts and Explanation Debit Credit 2024 Warranty Expense 30,000 Estimated Warranty Payable 30,000 Ask my instructor Clear all Cheek esawa