Antonios Car Services provides maintenance services for motorized vehicles. In March 2024, Rick placed an order for a new set of tires for $405. When a customer purchases goods or services in excess of $300, Antonios gives the customer a 20% discount coupon for future purchases made in the next three months. Antonios estimates that approximately 75% of customers utilize the coupon and that on average those customers will purchase goods or services that typically sell for $60.

Required:

(a) How many performance obligations are in Ricks contract?

(b) Prepare a journal entry to record revenue for this transaction, assuming that Antonios uses the residual method to estimate the stand-alone selling price of new tires sold without the discount coupon.