Accounting: Everhart Painting had sales for the 4th quarter

Everhart Painting had sales for the 4th quarter (October – December) totaling $165,700. On October 1, the company had a beginning balance in their Estimated Warranty Liability account of $3,000. Everhart offers a 1-year warranty on its painting services and estimates warranty claims will equal 5% of sales. Sales and actual warranty repair services occurred as follows:
Sales Revenue Actual Warranty Expenditures
October 53,400 2,850
November 43,700 1,970
December 68,600 2,390

On the balance sheet dated December 31st, determine the amount of Estimated Warranty Liability that Everhart would report after all adjustments have been recorded.
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