Aaron S Agency BELLE an insurance policy offered by Capital Insurance Company for a commission of BIL Aaron Will receive a further commission of $10 Each year for as long as the policy - holder does not CanCE* SElling the policy . Aaron does not have any remaining performance obligations . Based on its Significant* these TYPES of policies , Aaron Estimates that policyholders on average RENEW the policy for 4 5, Years . It 17 Suggest that previous policyholder behaviour wil Change. Instruction s aj Determine the transaction price of the arrangement for Aaron , assuming 100 policies are sold . Dj Prepare the journal Entries , assuming that the 100 policies are sold in January 2017 and that Aaron TE Commission from Capital . January 2017