Sic 'N Span Inc

Sic 'n Span Inc. sells washing machines with a 2 year warranty. Sic 'n Span estimates that total warranty costs are 3% of sales. In the year 2019, Sic 'n Span recorded total sales of washing machines of $1,400,000. The balance in the Estimated Liability for Warranties account was $76,400 on December 31, 2018, and $51,200 on December 31, 2019.
What must have been the actual cost of repairs (covered under warranty) for the year 2019?

A) $67,200
B) $65,800
C) $13,800
D) $88,600