Orange Inc. offers a coupon for 50% off a new watch when a customer buys its new oPhone. The market price for the oPhone is $600.

The watch usually retails for $200, and Orange anticipates 25% of customers will use the coupon to purchase a new watch next month.

1. What is the total stand-alone selling price for:

   1. the oPhone?

   2. the coupon?

2. Prepare the journal to enter in Oranges books when a customer purchases this package (one coupon with one oPhone) for $600. (Assume a cash sale; ignore the entry for cost of goods sold.)