Hill and Dale Enterprises offers an promotion that provides a customer signing up for a membership the opportunity to enroll in educational courses.A customer signing up the first time is entitled to a 25% discount off a full year 's worth of courses.A new membership costs $1,600 annually and a year's worth of courses another $1,200.Hill and Dale estimate that approximately 40% of the customers will take advantage of the discount.The company is offering a 10% discount on all courses at this time.
Required:
a.Identify the separate performance obligations in the new customer deal.
b.Allocate the price to the separate performance obligations.
c.Record the journal entry to record revenue for the sale of a new

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The Answer of Hill and Dale Enterprises offers an promotion that provides a customer signing up for a membership the opportunity to enroll in educational courses.A customer signing up the first time is entitled to a 25% discount off a full year 's worth of courses.A new membership costs $1,600 annually and a year's worth of courses another $1,200.Hill and Dale estimate that approximately 40% of the customers will take advantage of the discount.The company is offering a 10% discount on all courses at this time.
Required:
a.Identify the separate performance obligations in the new customer deal.
b.Allocate the price to the separate performance obligations.
c.Record the journal entry to record revenue for the sale of a new

Hill and Dale Enterprises Offers an Promotion That Provides a Customer