Hitzu Company sold a copier (that costs $4,500 ) for $9,000 cash with a two-year parts warranty to a customer on August 16 of Year 1. Hitzu expects warranty costs to be 4% of dollar sales. It records warranty expense with an adjusting entry on December 31 . On January 5 of Year 2 , the copier requires on-site repairs that are completed the same day. The repairs cost $102 for materials taken from the parts inventory. These are the only repairs required in Year 2 for this copier. How much warranty expense does the company report for this copler in Year 1 ?