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Alanna Inc sells specialized mountain bikes. Each specialized bike purchased includes free maintenance service for 12 months. The price of the specialized bike is $1,900.
Alanna Inc sells specialized mountain bikes. Each specialized bike purchased includes free maintenance service for 12 months. The price of the specialized bike is $1,900. When sold separately, a maintenance contract is $800 and a comparable but non-specialized bike is $1,200. What amount of revenue will Alanna Inc recognize at the date of sale for each bike?
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