Nissan USA guarantees automobiles against defects for 4 years or50,000 miles, whichever comes first. Suppose Nissan can expectwarranty costs during the 4 year period to add up to 3% of sales.Assume that Lakeland Nissan in Lakeland, florida, made sales of500,000 during 2000. Lakeland Nissan received cash for 10% of thesales and took notes receivable for the remainder. Payments tosatisfy customer warranty claims totaled 12,000 during 2000. 1)Record the sales, warranty expense, and warranty payments forLakeland Nissan. Ignore any reimbursements that Lakeland Nissan mayreceive from Nissan USA. 2) Post to the Estimated Warranty PayableT-account. The Beginning balance was 10,000. At the end of 2000,how much in estimated warranty payable does Lakeland Nissan owe itscustomers?