please complete the required 1,2, and 3
Check my work Problem 6-2 (Algo) Performance obligations; warranties; option [LO6-2, 6-4, 6-5) Creative Computing sells a tablet computer called the Protab. The $620 sales price of a Protab Package includes the following: One Protab computer. A 6-month limited warranty. This warranty guarantees that Creative will cover any costs that arise due to repairs or replacements associated with defective products for up to six months. A coupon to purchase a Creative Probook e-book reader for $125, a price that represents a 50% discount from the regular Probook price of $250. It is expected that 20% of the discount coupons will be utilized. A coupon to purchase a one-year extended warranty for $40. Customers can buy the extended warranty for $40 at other times as well. Creative estimates that 45% of customers will purchase an extended warranty. Creative does not sell the Protab without the limited warranty, option to purchase a Probook, and the option to purchase an extended warranty, but estimates that if it did so, a Protab alone would sell for $600. All Protab sales are made in cash Required: 1. & 2. Indicated below whether each item is a separate performance obligation and allocate the transaction price of 120,000 Protab Packages to the separate performance obligations in the contract. 3. Prepare a journal entry to record sales of 120,000 Protab Packages (ignore any sales of extended warranties). Complete this question by entering your answers in the tabs below. Reg 1 and 2 Req3 Indicated below whether each item is a separate performance obligation and allocate the transaction price of 120,000 Protab Packages to the separate performance obligations in the contract. Item Description Performance Obligation? Stand Alone Price Percentage of Total Stand Alone Price Protab computers Required: 1. & 2. Indicated below whether each item is a separate performance obligation and allocate the transaction price of 120,000 Protab Packages to the separate performance obligations in the contract. 3. Prepare a journal entry to record sales of 120,000 Protab Packages (ignore any sales of extended warranties). Complete this question by entering your answers in the tabs below. Reg 1 and 2 | Reg 3 Indicated below whether each item is a separate performance obligation and allocate the transaction price of 120,000 Protab Packages to the separate performance obligations in the contract. Item Description + Performance Obligation? Stand Alone Price Percentage of Total Stand Alone Price Protab computers Limited 6-month warranty Option to purchase a Probook Option to purchase extended warranty Total stand alone price Allocated Contract Item Description Percentage of Total Stand Alone Price Total Transaction Price Price Protab computers Limited 6-month warranty Option to purchase a Probook Option to purchase extended warranty Total contract price Help Save & Ext Submit Check my work 11 Reg 1 and 2 Reg 3 Prepare a journal entry to record sales of 120,000 Protab Packages (ignore any sales of extended warranties). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) kipped View transaction list Journal entry worksheet Record the sales of 120,000 Protab Packages Print rences Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general Journal
