Question
On December 2, a customer signs a contract to buy an equipment and service plan bundle eith cash. The equipment normally sells for $100 and
On December 2, a customer signs a contract to buy an equipment and service plan bundle eith cash. The equipment normally sells for $100 and is bundled tihe an 18 month service plan, which usually sells for $50 per month. The price for the bundles is $1010 and the cost of the equipment to Smart Touch is $150 per month. Smart Touch uses the perpetual inventory method and a relatiave sales value baissi approach to alloate revenue between teh equipment and the service plan. Round intermediary values to one decimal place final values to the nearest whole dollar.
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