Required:
1. & 2.Indicate below whether each item is a separate performance obligation and allocate the transaction price of 100,000 Protab Packages to the separate performance obligations in the contract.
3. journal entry to record sales of 100,000 Protab Packages.
Journal entry worksheet Record the sales of 100,000 Protab Packages. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View general journalReq 1 and 2 Reg 3 Indicate below whether each item is a separate performance obligation and allocate the transaction price of 100,000 Protab Packages to the separate performance obligations in the contract. Performance Percentage of Total Item Descrotion Obligation? Stand Alone Price Stand Alone Price Protab tablet Yes S 76,000,000 100.00% Limited 6-month warranty No Option to purchase a Probook Yes Option to purchase extended warranty Yes Total stand alone price 76,000,000 100.00% Percentage of Item Descrotion Total Stand Total Transaction = Allocated Contract Alone Price Price Price Protab tablet 100.00% Limited 6-month warranty Option to purchase a Probook Option to purchase extended warranty Total contract price S 0 Creative Computing sells a tablet computer called the Protab. The 5380 sales price ofa 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 $420. a price that represents a 30% discount from the regular Probook price of $600. It is expected that 20% ofthe discount coupons will be utilized. - A coupon to purchase a one-year extended warranty for $45. Customers can buy the extended warranty for $70 at other times if they do not use the $45 coupon. Creative estimates that 35% ofcustomers 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 $?50. Required: 1. 8r 2. Indicate below whether each item is a separate performance obligation and allocate the transaction price of 100,000 Protab Packages to the separate performance obligations in the contract. 3. Prepare ajournal entry to record sales of'100,000 Protab Packages
