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Window company had sales of $800,000 into 2016 the company expects to incur warrantee expenses amounting to 3% of sales there were $13,000 of warrantee

Window company had sales of $800,000 into 2016 the company expects to incur warrantee expenses amounting to 3% of sales there were $13,000 of warrantee obligations paid in cash for 2016, based on this information which of the following is correct
A. warranty expenses would decrease the earnings by $24,000 in 2016
B. cash would decrease by 13,000 as a result of the accounting events associated with the warrenties 2016
C. The warranties payable account would increase by $11,000 in 2016
D. All of the choices above are correct

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