Woodmier Lawn Products introduced a new line of commercial sprinklers in $2020$ that carry a one$-$year warranty against manufacturer$$s defects. Because this was the first product for which the company offered a warranty, trade publications were consulted to determine the experience of others in the industry. Based on that experience, warranty costs were expected to approximate $4\%$ of sales. Sales of the sprinklers in $2020$ were $$2,750,000.$ Accordingly, the following entries relating to the contingency for warranty costs were recorded during the first year of selling the product: