On August 1, 2019, Seadrill Engineering licensed software to oil-drilling firms for 5 years. In addition to providing the software, the company provides consulting services and support to ensure smooth operation of the software throughout the license period. The total transaction price is $840,000. Based on standalone values, the company estimates the consulting services and support have a value of $240,000 and the software license has a value of $600,000. Seadrill is paid $840,000 on August 1, when the software is installed. Assuming the performance obligations are not interdependent, the journal entry to record the transaction includes

A. a credit to Service Revenue of $240,000.

B. a credit to Unearned Service Revenue of $240,000.

C. a credit to Sales Revenue of $600,000.

D. Both b. and c. are correct.