At the beginning of 2021, Angel Corporation began offering a 1-year warranty on its products. The warranty program was expected to cost Angel 2% of net sales. Net sales made under warranty in 2021 were $290 million. Five percent of the units sold were returned in 2021 and repaired or replaced at a cost of $4.4 million. The amount of warranty expense in Angel's 2021 income statement is: Multiple Choice $5.8 million $4.4 million $43.5 million $3.0 million