Problem 18-01 (Part Level Submission)

Stellar Company sells tablet PCs combined with Internet service, which permits the tablet to connect to the Internet anywhere and set up a Wi-Fi hot spot. It offers two bundles with the following terms.

1.		Stellar Bundle A sells a tablet with 3 years of Internet service. The price for the tablet and a 3-year Internet connection service contract is $534. The standalone selling price of the tablet is $266 (the cost to Stellar Company is $187). Stellar Company sells the Internet access service independently for an upfront payment of $322. On January 2, 2020, Stellar Company signed 100 contracts, receiving a total of $53,400 in cash.
2.		Stellar Bundle B includes the tablet and Internet service plus a service plan for the tablet PC (for any repairs or upgrades to the tablet or the Internet connections) during the 3-year contract period. That product bundle sells for $631. Stellar Company provides the 3-year tablet service plan as a separate product with a standalone selling price of $150. Stellar Company signed 190 contracts for Stellar Bundle B on July 1, 2020, receiving a total of $119,890 in cash.

(a)

Prepare any journal entries to record the revenue arrangement for Stellar Bundle A on January 2, 2020, and December 31, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 5,125.)

Date	Account Titles and Explanation	Debit	Credit
choose a transaction date Jan. 2, 2020Jul. 1, 2020Dec. 31, 2020	enter an account title to record sales	enter a debit amount	enter a credit amount
	enter an account title to record sales	enter a debit amount	enter a credit amount
	enter an account title to record sales	enter a debit amount	enter a credit amount
	(To record sales)
	enter an account title to record cost of goods sold	enter a debit amount	enter a credit amount
	enter an account title to record cost of goods sold	enter a debit amount	enter a credit amount
	(To record cost of goods sold)
choose a transaction date Jan. 2, 2020Jul. 1, 2020Dec. 31, 2020	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount

By accessing this Question Assistance, you will learn while you earn points based on the Point Potential Policy set by your instructor.

Attempts: 0 of 2 used

SAVE FOR LATER

SUBMIT ANSWER

Earn Maximum Points available only if you answer this question correctly in your first attempt.

(b) The parts of this question must be completed in order. This part will be available when you complete the part above.

(c) The parts of this question must be completed in order. This part will be available when you complete the part above.

Not sure what parts B and C are, but if you do, that would be very nice!