The balance in the Warranty Liability account is always equal to Warranty Expense.The Warranty Liability account is increased by warranty expense,but it is also reduced over time by actual warranty expenditures.

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The balance in the Warranty Liability account is not always equal to Warranty Expense because the liability account is increased by warranty expense estimates but reduced by actual warranty expenditures, leading to fluctuations in its balance over time.

The Balance in the Warranty Liability Account Is Always Equal