Norford Truck Company sells tractors to area farmers. The price of each tractor includes GPS service for 24 months.Norford sold a 60 HP Tractor to Farmer Brown for $45,000 on January 2, 2020.The package included a 24-month GPS package.The stand-alone price for the tractor is $49,500 and cost of two years GPS service would be $5,500.

a. Identify the separate performance obligations.

b. Show the journal entry to record the original sale.

c. Show the journal entry that would be required on December 31, 2020.