Peterson Photoshop sold $1,000 in gift cards on a special promotion on October 15,2016,and sold $1,500 in gift cards on another special promotion on November 15,2016.Of the cards sold in October,$100 were redeemed in October,$250 in November,and $300 in December.Of the cards sold in November,$150 were redeemed in November and $350 were redeemed in December.Peterson views the probability of redemption of a gift card as remote if the card has not been redeemed within two months.At 12/31/2016,Peterson would show an deferred revenue account for the gift cards with a balance of:

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The Answer of Peterson Photoshop sold $1,000 in gift cards on a special promotion on October 15,2016,and sold $1,500 in gift cards on another special promotion on November 15,2016.Of the cards sold in October,$100 were redeemed in October,$250 in November,and $300 in December.Of the cards sold in November,$150 were redeemed in November and $350 were redeemed in December.Peterson views the probability of redemption of a gift card as remote if the card has not been redeemed within two months.At 12/31/2016,Peterson would show an deferred revenue account for the gift cards with a balance of:

Peterson Photoshop Sold $1,000 in Gift Cards on a Special