On March 21, OfficeTech signed a contract with Atlantic Tech University to sell it 100 laser printers and 125 additional high-volume toner cartridges. The contract price was $46,000. OfficeTech normally charges $400 for each laser printer and $80 for each high-volume toner cartridge. The printers cost OfficeTech $290, while each toner cartridge costs $50. No sales returns are expected by OfficeTech’s management. All of the printers were delivered to the university on March 26, but the toner cartridges were not delivered until April 3 because they were shipped from a different warehouse.

Instructions

a. Determine the amount of revenue that OfficeTech would be able to recognize in March.

b. Record the March transactions in the records of OfficeTech, which uses a perpetual inventory system.