Required information [The following information applies to the questions displayed below.] On October 29, Lobo Company began operations by purchasing razors for resale. The razors have a 90 -day warranty. When a razor is returned, the company discards it and malls a new one from Merchandise Inventory to the customer. The company's cost per new razor is $15 and its retail selling price is $80. The company expects warranty costs to equal 5% of dollar sales. The following transactions occurred. Novenber 11 sold 80 razora for $6,400 cahh. sovesber 30 Recognized varranty expenee related to Novenber ualee with an adfusting entry. Decenber 9 replaced 16 razore that were returned under the warranty. Decenber 16 sold 240 raxors for $19,200 canh. Decenber 29 Meplaced 32 razora that vere returned under the warranty, Deceaber 31 ecognized warranty expense related to pecember nalee with an adjusting entry. January 5 sold 160 razore for 812,000 eanh. January 17 Replaced 37 razora that wore returned under the warranty. January 31 Recognized varranty expense related to Jahuary boles with an adfuating entry. 4. What is the balance of the Estimated Warranty Lability account as of December 31