Chase Corporation sold 11,000 units of a new product for $70…
Chase Corporation sold 11,000 units of a new product for $70/unit during 2023. The sales price included a 3-year warranty to cover any defects on the product. Management at Chase Corporation estimates total warranty expenses to be 7% of sales dollars. Assuming actual warranty expenditures related to this product were $19,000 in 2023, what amount of warranty expense will Chase Corporation record on their 2023 income statement?