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Swifty Company sells tablet PCs combined with Internet service, which permits the tablet to connect to the Internet anywhere and set up a Wi-Fi hot spot. It offers two bundles with the following terms. 1. Swifty Bundle A sells a tablet with 3 years of Internet service. The price for the tablet and a 3-year Internet connection service contract is $494. The standalone selling price of the tablet is $225 (the cost to Swifty Company is $176). Swifty Company sells the Internet access service independently for an upfront payment of $321. On January 2, 2020, Swifty Company signed 100 contracts, receiving a total of $49,400 in cash. 2. Swifty Bundle B includes the tablet and Internet service plus a service plan for the tablet PC (for any repairs or upgrades to the tablet or the Internet connections) during the 3-year contract period. That product bundle sells for $598. Swifty Company provides the 3-year tablet service plan as a separate product with a standalone selling price of $147. Swifty Company signed 200 contracts for Swifty Bundle B on July 1, 2020, receiving a total of $119,600 in cash. Prepare any journal entries to record the revenue arrangement for Swifty Bundle A on January 2, 2020, and December 31, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter for the amounts. Round answers to 0 decimal places, e.g. 5,125.) Date Account Titles and Explanation Debit Credit (To record sales) (To record cost of goods sold) Prepare any journal entries to record the revenue arrangement for Swifty Bundle B on July 1, 2020, and December 31, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter for the amounts. Round answers to 0 decimal places, e.g. 5,125.) Date Account Titles and Explanation Debit Cre (To record sales) (To record cost of goods sold) Repeat the requirements for part (a), assuming that Swifty Company has no reliable data with which to estimate the standalone selling price for the Internet service. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter Ofor the amounts. Round answers to O decimal places, e.g. 5,125.) Date Account Titles and Explanation Debit Credit (To record sales) (To record cost of goods sold)

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