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Creative Computing sells a tablet computer called the Protab. The $860 sales price of a Protab Package includes the following: One Protab computer. A 6-month limited warranty. This warranty guarantees that Creative will cover any costs that arise due to repairs or replacements associated with defective products for up to six months. A coupon to purchase a Creative Probook e-book reader for $140, a price that represents a 50% discount from the regular Probook price of $280. It is expected that 25% of the discount coupons will be utilized. A coupon to purchase a one-year extended warranty for $50. Customers can buy the extended warranty for $50 at other times as well. Creative estimates that 40% of customers will purchase an extended warranty. Creative does not sell the Protab without the limited warranty, option to purchase a Probook, and the option to purchase an extended warranty, but estimates that if it did so, a Protab alone would sell for $840. All Protab sales are made in cash. Required: 1. & 2. Indicated below whether each item is a separate performance obligation and allocate the transaction price of 96,000 Protab Packages to the separate performance obligations in the contract. 3. Prepare a journal entry to record sales of 96,000 Protab Packages (ignore any sales of extended warranties). Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Indicated below whether each item is a separate performance obligation and allocate the transaction price of 96,000 Protab Packages to the separate performance obligations in the contract. Item Description Protab computers Limited 6-month warranty Option to purchase a Probook Option to purchase extended warranty Total stand alone price Performance Obligation? Percentage of Total Stand Alone Price Stand Alone Price Yes 0 No 0 Yes 0 No 0 $ 0% Item Description Percentage of Total Stand Alone Price Total Transaction Price Allocated Contract Price Protab computers Limited 6-month warranty Option to purchase a Probook Option to purchase extended warranty Total contract price $ 0 < Req 1 and 2 Req 3 >

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