George is employed by Quality Appliance Company.All full-time employees are allowed to purchase appliances at the company's cost plus 10%.The employees are also given, at no cost, a one-year service contract on all the goods purchased from the company.George purchased a refrigerator for $500.The company's normal selling price for the refrigerator is $800.George also received a service contract at no charge that had a value of $150.During the year, George was required to have his refrigerator serviced once.The cost of the call would have been $75 if he had not had the service contract.Is George required to recognize any income from the purchase of the refrigerator, the receipt of the service contract, and the service call?

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The Answer of George is employed by Quality Appliance Company.All full-time employees are allowed to purchase appliances at the company's cost plus 10%.The employees are also given, at no cost, a one-year service contract on all the goods purchased from the company.George purchased a refrigerator for $500.The company's normal selling price for the refrigerator is $800.George also received a service contract at no charge that had a value of $150.During the year, George was required to have his refrigerator serviced once.The cost of the call would have been $75 if he had not had the service contract.Is George required to recognize any income from the purchase of the refrigerator, the receipt of the service contract, and the service call?

George Is Employed by Quality Appliance Company