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During 2021, Deluxe Leather Goods issued 703,000 coupons which entitles the customer to a $4.80 cash refund when the coupon is submitted at the time
During 2021, Deluxe Leather Goods issued 703,000 coupons which entitles the customer to a $4.80 cash refund when the coupon is submitted at the time of any future purchase. Deluxe estimates that 74% of the coupons will be redeemed. 297,000 coupons had been processed during 2021. Deluxe recognizes coupon expense in the period coupons are issued. At December 31, 2021, Deluxe should report a liability for unredeemed coupons of:
Multiple Choice
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$1,071,456.
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$1,442,112.
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$520,220.
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$1,948,800.
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