Julia Used Cars Offers a One-Year Warranty from the Date

Multiple Choice

Julia Used Cars offers a one-year warranty from the date of sale on all cars it sells. From historic data, Bill Julia estimates that, on average, each car will require the company to incur warranty cost of $820. The following activities occurred during 2017.
$$\begin{array} { | l | l | l | } \hline \text { Feb } & 4 & \text { Sold five cars. } \\\hline \text { Mar } & 23 & \text { Sold ten cars. } \\\hline \text { May } & 20 & \text { Incurred warranty costs of } \$ \mathbf { 6 , 0 0 0 } \text {on four cars sold in 2016. } \\\hline \text { July } & 6 & \text { Sold eight cars. } \\\hline \text { Sep } & 1 & \text { Incurred warranty costs of } \$ 5,000 \text { on five cars sold in 2016. } \\\hline \text { Noy } & 14 & \text { Incurred warranty costs of } \$ 4,000 \text { on one car sold in 2016. } \\\hline \text { Dec } & 22 & \text { Sold twelve cars. } \\\hline\end{array}$$
If the January 1, 2017 beginning balance in the warranty liability account was $2,500, what would be the year-end warranty liability balance?

A) $31,200
B) $16,200
C) $11,200
D) $13,700