To increase sales, Riverbed Inc., a public company following IFRS, implemented a customer loyalty program that rewards a customer with 1 loyalty point for every $10 of purchases on a select group of products. Each point is redeemable for a $1 discount on any purchases of Riverbed merchandise in the next two years. Following the implementation of the program, during 2017, customers purchased select group products for $290,000 and earned 29,000 points redeemable for future purchases. (All products are sold to provide a 55% gross profit.) The stand-alone selling price of the purchased products is $290,000. Based on prior experience with incentive programs like this, Riverbed expects 28,500 points to be redeemed related to these sales. (Riverbed appropriately uses this experience to estimate the value of future consideration related to bonus points.)

Identify the separate performance obligation in the Riverbed bonus point programs. A) Products B) Bonus Points Prepare the journal entries for cash sales including the issuance of bonus points for Riverbed in 2017 A) To record sales B) To record COGS