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At the beginning of 2021, Angel Corporation began offering a 1-year warranty on its products....

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Accounting

At the beginning of 2021, Angel Corporation began offering a 1-year warranty on its products. The warranty program was expected to cost Angel 1% of net sales. Net sales made under warranty in 2021 were $330 million. Five percent of the units sold were returned in 2021 and repaired or replaced at a cost of $1.9 million. The amount of warranty expense in Angel's 2021 income statement is: Multiple Choice $49.5 million. $0.5 million. $1.9 million. $3.3 million. Question 6 of 10 Total 6 of 10

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