2. On April 1, 2022, the EGGcellent Company launches a buy some, get some free later offer wherein customers who purchase $50 of marshmallow chicks from April 1 through Easter receive a coupon for free chocolate-covered strawberries Mother's Day weekend in May 2022. The free chocolate-covered strawberries normally sell for $10 and prior offers of this nature have resulted in 80% of customers claiming their "free stuff." From April 1 through Easter EGG sells $5,000 of marshmallow chicks and gives way 85 coupons for free chocolate-covered strawberries. a. How many performance obligations are included in this contract? Explain your answer. b. What is the transaction price for this contract? c. How much revenue will EGG recognize related to this contract in April? 3. In honor of the Basketball All-Star Game being played in Cleveland this weekend, HOOPS is offering a special on its Can't Miss basketball hoops during February 2022. For $5,200, a customer will receive a Can't Miss hoop and free repairs for 5 years (the normal selling price for the Can't Miss hoop is $5,000). While HOOPS does not usually provide free future repair services for basketball hoops at the time of sale, it does provide repairs for basketball hoops as a for-fee service. Hoops estimates that repair services provided during the first 5 years of a Can't Miss hoop's life results in about $600 of repair revenue. a. How many performance obligations are included in a Can't Miss hoop sale in February? Explain your answer. b. What is the transaction price for each sale of a Can't Miss hoop in February? c. In February, HOOPS sells 100 Can't Miss hoops and from March through December HOOPS completes total repair services on these hoops for which it would normally charge customers $8,000. How much revenue will HOOPS recognize in 2022 related to the Can't Miss hoops it sold in February