Sandhill Inc. has a customer loyalty program that rewards a customer with 1 customer loyalty point for every $10 of purchases. Each point is redeemable for a $3 discount on any future purchases. On July 2, 2020, customers purchase products for $370,000 (with a cost of $210,900) and earn 37,000 points redeemable for future purchases. Sandhill expects 31,500 points to be redeemed. Sandhill estimates a standalone selling price of $2.50 per point (or $92,500 total) on the basis of the likelihood of redemption. The points provide a material right to customers that they would not receive without entering into a contract. As a result, Sandhill concludes that the points are a separate performance obligation. (

(b) Prepare the journal entries to record the sale of the product and related points on July 2, 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.) Account Titles and Explanation Debit Credit (To record sales) (To record cost of goods sold)