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Kinneman Computing sells a specialized tablet computer called the Slate. The $780 sales price of a Slate Package includes the following: - One Slate tablet

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Kinneman Computing sells a specialized tablet computer called the Slate. The $780 sales price of a Slate Package includes the following: - One Slate tablet - A 6-month limited warranty. This warranty guarantees that Kinneman will cover any costs that arise from repairs or replacements associated with a defective table for up to 6 months from the date of sale. - A coupon to purchase a Slate e-reader for $200, a price that represents a 50% discount from the reader e-reader price of $400. Management believes that 20% of the coupons will be redeemed. - A coupon to purchase a one-year extended warranty after the assurance-type warranty ends in 6 months. The coupon price for the extended warranty is $50. Other customers can purchase the extended warranty for $50 as well. Kinneman believes that 40% of the Slate customers will purchase the extended warranty. - Kinneman does not sell the Slate package with limited warranty option to purchase the e-reader by itself, and the option to purchase the extended warranty, but it estimates that if it did so, the purchase price of the Slate alone would be $760. 1. How many performance obligations are included in the Slate package? 2. List the performance obligations in the Slate package in the following table and complete it to allocate the transaction price of the Slate Package to the Performance obligations in the contract. SHOW ME YOUR LABELLED CALCULATIONS! (you can cut \& paste this table) 3. Prepare the journal entry to record the sale of 100,000 Slate Packages. 4. Redo 1,2,3 if instead customers had to pay $75 to purchase the extended warranty if they did not have the $50 coupon included in the Slate Package. Again, Kinneman believes that 40% of the customers would use the $50 coupon to purchase an extended warranty

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