Question
A tech company sells a bundled product that includes the software (100,000$ stand-alone price), plus 5 years of maintenance services (25$,000 stand-alone price) for a
A tech company sells a bundled product that includes the software (100,000$ stand-alone price), plus 5 years of maintenance services (25$,000 stand-alone price) for a total price of 120,000$. At the time of the signature of the contract, the tech company should...?
A)Recognize $100,000 of the software as revenue at the time of the sale
B)Recognized everything as revenue at the time of the sale
C)Recognize all the revenue at time 5 when the company would have fulfilled all its obligations
D)Recognize $96,000 of the software as revenue at the time of the sale
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