Please answer all of them im really struggling. All of the numbers in the yellow are wrong as well as the first word question. thank you!
B C D E Agassiz Inc. sells tablet bundles that combine the tablet with 3 years of internet service, which permits the tablet to connect to the Internet anywhere and set up a Wi-Fi hot spot. The price for the tablet and a 3 -year Internet connection service contract is $00. The standalone selling price of the tablet is $250 (the cost to Agassiz Inc. is $175), Agassiz Inc, also sells the Internet access service independently for an upfront payment of $300. On January 2,2025 , Agassiz Inc. sold 100 tablet bundles, receiving a total of $50,000 in cash. 1. Answer the following questions about the contract: Points Value: 10 \begin{tabular}{|l|l|} \hline How many performance obligations are associated with this contract? & 100 \\ \begin{tabular}{ll} How should Agassiz allocate the transaction price of the bundle between & Agassiz should not recognize any \\ these performance obligations? & \begin{tabular}{l} revenue until the end of the service \\ period, so there is no need to worry \\ about allocating the transaction price. \end{tabular} \end{tabular} \\ \hline \end{tabular} 2. Prepare the journal entry for the initial sell of 100 tablet bundles. Points Value: 10 \begin{tabular}{|l|c|c|} \hline \multicolumn{1}{|c|}{ Account } & Debit & Credit \\ \hline Cash & 50,000 & \\ \hline Unearned Revenue & & 50,000 \\ \hline Inventory & 17,500 & \\ \hline Tablet Expense & & 17,500 \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} In response to competitive pressure for internet access, after 2 years of the 3-year contract, Agassiz Inc. offers a modified contract and extension incentive. The extended contract services are similar to those provided in the first 2 years of the contract. Signing the extension and paying $90 (which equals the standalone selling price of the revised Internet service package) extends access for 2 more years of Internet connection. 40 customers sign up for this offer on January 2, 2027. Assume the modification does not result in a separate performance obligation. In response to competitive pressure for internet access, after 2 years of the 3 -year contract, Agassiz Inc. offers a modified contract and extension incentive. The extended contract services are similar to those provided in the first 2 years of the contract. Signing the extension and paying $90 (which equals the standalone selling price of the revised Internet service package) extends access for 2 more years of Internet connection. 40 customers, sign up for this offer on January 2, 2027. Assume the modification does not result in a separate performance obligation. 3. Prepare the journal entry for the receipt of cash from customers when the 40 contract extensions are signed on January 2,2027. 4. Prepare the journal entry to recognize unearned service revenues as of December 31,2027 for the 40 extended contracts. B C D E Agassiz Inc. sells tablet bundles that combine the tablet with 3 years of internet service, which permits the tablet to connect to the Internet anywhere and set up a Wi-Fi hot spot. The price for the tablet and a 3 -year Internet connection service contract is $00. The standalone selling price of the tablet is $250 (the cost to Agassiz Inc. is $175), Agassiz Inc, also sells the Internet access service independently for an upfront payment of $300. On January 2,2025 , Agassiz Inc. sold 100 tablet bundles, receiving a total of $50,000 in cash. 1. Answer the following questions about the contract: Points Value: 10 \begin{tabular}{|l|l|} \hline How many performance obligations are associated with this contract? & 100 \\ \begin{tabular}{ll} How should Agassiz allocate the transaction price of the bundle between & Agassiz should not recognize any \\ these performance obligations? & \begin{tabular}{l} revenue until the end of the service \\ period, so there is no need to worry \\ about allocating the transaction price. \end{tabular} \end{tabular} \\ \hline \end{tabular} 2. Prepare the journal entry for the initial sell of 100 tablet bundles. Points Value: 10 \begin{tabular}{|l|c|c|} \hline \multicolumn{1}{|c|}{ Account } & Debit & Credit \\ \hline Cash & 50,000 & \\ \hline Unearned Revenue & & 50,000 \\ \hline Inventory & 17,500 & \\ \hline Tablet Expense & & 17,500 \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} In response to competitive pressure for internet access, after 2 years of the 3-year contract, Agassiz Inc. offers a modified contract and extension incentive. The extended contract services are similar to those provided in the first 2 years of the contract. Signing the extension and paying $90 (which equals the standalone selling price of the revised Internet service package) extends access for 2 more years of Internet connection. 40 customers sign up for this offer on January 2, 2027. Assume the modification does not result in a separate performance obligation. In response to competitive pressure for internet access, after 2 years of the 3 -year contract, Agassiz Inc. offers a modified contract and extension incentive. The extended contract services are similar to those provided in the first 2 years of the contract. Signing the extension and paying $90 (which equals the standalone selling price of the revised Internet service package) extends access for 2 more years of Internet connection. 40 customers, sign up for this offer on January 2, 2027. Assume the modification does not result in a separate performance obligation. 3. Prepare the journal entry for the receipt of cash from customers when the 40 contract extensions are signed on January 2,2027. 4. Prepare the journal entry to recognize unearned service revenues as of December 31,2027 for the 40 extended contracts
