Warranties Bakem Enterprises manufactures and sells Ovens. Bakem provides all customers with a two-year warranty guaranteeing to repair, free of charge, any defects reported during this time period. During the year, it sold 100,000 Ovens for $330 each. Analysis of past warranty records indicates that 12% of all sales will be returned for repair within the warranty period. Bakem expects to incur expenditures of $10 to repair cach Oven. The account Estimated Liability for Warranties had a balance of $120,000 on January 1. Bakem incurred $145,000 in actual expenditures during the year, Required: Identity and analyze the effect of the events related to the warranty transactions during the year. The effect of recording the sales transaction: Activity Accounts Statement(s) How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, le, a decrease, be sure to enter the answer with a minus sign. Balance Sheet Income Statement Stockholders Assets Liabilities Equity Revenues Expert The effect of recording estimated warranty cost: Activity Accounts Statement(s) How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry and leave the amount box blank. If the effect on a financial statement item is negative, le, a decrease, be sure to enter the answer with a minus sign Balance Sheet Income Statement Stockholders Equity Assets Liabilities Revenues Expen The effect of recording actual warranty cost: Activity Accounts Statement(s) How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, le, a decrease, be sure to enter the Assets Liabilities Equity Revenues Expens The effect of recording actual warranty cost: Activity Accounts Statement(s) How does this entry affect the accounting equation If a financial statement Item is not affected, select "No Entry and leave the amount box blank. If the effect on a financial statement item is negative, l.e, a decrease, be sure to enter the answer with a minus sign Balance Sheet Income Statement Stockholders' Equity Assets Llabilities Revenues Expen: Determine the adjusted ending balance in the Estimated Liability for Warranties account