QUESTIONS ON WARRANTIES In this section, you are given TWO Multiple Choice Questions on Warranties. USE THE INFORMATION GIVEN BELOW TO ANSWER QUESTIONS ME GCC Computer Systems Inc. maintains office equipment (photocopiers and computers) under contract. The contracts are issued for durations of one year, two years and three years respectively. These contracts are for labor only and customers must reimburse GCC for parts. The number of new maintenance agreement sold in 2013 and its rate schedule is as follows: 1-year 2-year 3-year Photocopiers $240 $420 $600 Number of agreements 24 12 36 Computers $180 $320 nla Number of agreements 24 24 0 November 30, 2020: Assume that the contract sales occurred evenly during the year. Thus in the current year, on a one-year contract, on average, 50% revenue would accrue. Similarly, on a two-year contract, on average 25% revenue would accrue; and so on. You are required to select the alphabet of the one best answer to each of the questions listed below and input it in the computer. Determine the amount of revenue that GCC will recognize for the year ended December 31, 2013. a. $22,200. O b. $11,820. C. $23,640. O d. $10,800. e. None of the above. What amount of deferred revenue will GCC report as total liability (both current and non-current) at the end of 2013? a. $32,580. O b. $22,200. 0 C. $20,760. O d. $34,320. e. None of the above