Mammoth Publishing. Incorporated owns a weekly magazine called "Nova Health," and sells annual subscriptlons for $$85.$ Customers prepay their subscription fee and receive $52$ issues starting in the following month. The company also offers new subscribers a $25\%$ discount coupon on its other weekly magazine called "Fishing & Camping," which has a list price of $$64$ for an annual subscription. Mammoth estimates that approximately $15\%$ of the discount coupons will be redeemed.

Required:

$($a$)$ How many performance obligations are in a single subscription contract?

$($b$)$ Prepare the journal entry to account for one new subscription of "Nova Health," clearly identifying the revenue or deferred revenue associated with each performance obligation.

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Required $A$

How many performance obligations are in a single subscription contract?