On September 1, 20x4 Bobcat Coffee purchased 120 units of it's first custom expresso machines for resale. The cost of the machines were $100 per machine.

In 20x4, Bobcat Coffee offers a special deal to it's customers. It offers its custom expresso machine and a 1 year subscription to it's creative coffee drinks app for $700. Note the machine sells on it's on for $600 and the normal cost of subscription app is $250. There is not right of return on either piece.

a. November 1, 20x4, Bobcat enters into a sales agreement to sell 100 package deals, with a start date of December 1, to Ohio Coffee. Ohio Coffee agrees to pay a 10% down pmt of the contract, the balance due 30 days after delivery of the machines.

b. December 1, 20x4: Bobcat delivers the 100 Machines to Ohio Coffee.

c. December 31, 20x4: Bobcats closes the books for the fiscal year.