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Blue Spruce Limited, a private company following ASPE, includes one coupon in each box of soap powder that it produces, and 8 coupons are redeemable
Blue Spruce Limited, a private company following ASPE, includes one coupon in each box of soap powder that it produces, and 8 coupons are redeemable for a premium (a kitchen utensil). In 2020, Blue Spruce Corporation purchased 8,610 premiums at $0.80 each and sold 99,200 boxes of soap powder at $3.40 per box. In total, 32,800 coupons were presented for redemption in 2020. It is estimated that 60% of the coupons will eventually be presented for redemption. Blue Spruce uses the expense approach to account for premiums.
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