I. Allocate Transaction Price, Upfront Fees Tablet Tailors sells tablet PCs combined with Internet service, which permits the tablet to connect to the Internet anywhere and set up a Wi-Fi hot spot. It offers two bundles with the following terms. 1. Tablet Bundle A sells a tablet with 3 years of Internet service. The price for the tablet and a 3-year Internet connection service contract is $500. The standalone selling price of the tablet is $250 (the cost to Tablet Tailors is $175 ). Tablet Tailors sells the Internet access service independently for an upfront payment of $300. On January 2, 2025, Tablet Tailors signed 100 contracts, receiving a total of $50,000 in cash. 2. Tablet Bundle B includes the tablet and Internet service plus a service plan for the tablet PC (for any repairs or upgrades to the tablet or the Internet connections) during the 3-year contract period. That product bundle sells for $600. Tablet Tailors provides the 3-year tablet service plan as a separate product with a standalone selling price of $150. Tablet Tailors signed 200 contracts for Tablet Bundle B on July 1, 2025, receiving a total of $120,000 in cash. Instructions: (a) Prepare any journal entries to record the revenue arrangement for Tablet Bundle A on January 2, 2025, and December 31, 2025. (b)Prepare any journal entries to record the revenue arrangement for Tablet Bundle B on July 1,2025, and December31, 2025. (c) Repeat the requirements for part (a), assuming that Tablet Tailors has no reliable data with which to estimate the stand- alone selling price for the Internet service. \begin{tabular}{|c|c|c|c|} \hline & & \\ \hline & & Debit & Credit \\ \hline Jan. 2 & Cash & 50,000 & \\ \hline & Sales Revenue & & \\ \hline & Uneamed Revenue & \\ \hline & \multicolumn{2}{|c|}{ (To record revenue and unearned revenue for Jan. 2 revenue agreement.) } \\ \hline \end{tabular} \begin{tabular}{|l|l|r|r|} \hline Jan. 2 & Cost of good Sold & 17,500 & \\ \hline & Inventory & & 17,500 \\ \hline & (To record COGS) & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline Dec. 31 & Unearned Service Revenue & & \\ \hline & Service Revenue & & \\ \hline & (To record revenue for internet service provided in 2025) & \\ \hline \end{tabular}