During 2012,Great Adventures Sold 150 Dune Buggies for $4,000 Each

During 2012,Great Adventures sold 150 dune buggies for $4,000 each.The dune buggies carry a 5-year warranty for defects.Estimates suggest that repair costs will average 4% of the total selling price.The estimated warranty liability at the beginning of the year was $14,000,and $20,000 in claims was actually incurred during 2012 to honor the warranty.What was the warranty expense for 2012?

A) $10,000
B) $18,000
C) $20,000
D) $24,000