2. Sarjit Systems sold software to a customer for $ 147,000. As part of the contract, Sajit promises to provide "free" technical support over the next six months. Sarjit sells the same software without technical support for $127,500 and a stand-alone six month technical contract for $22,500, so these products would sell for $150,000 if sold separatley.

Prepare Sarjits journal entry to record the sale of the software. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Record the sale of the software: 4.

GoodBuy sells gift cards redeemable for GoodBuy products either in store or online. During 2016, GoodBuy sold $1,040,000 of gift cards, and $900,000 of the gift cards were redeemed for products. As of December 31, 2016, $33,000 of the remaining gift cards had passed the date at which GoodBuy concludes that the cards will never be redeemed.

4. GoodBuy sells gift cards redeemable for GoodBuy products either in store or online. During 2016, GoodBuy sold $1,040,000 of gift cards, and $900,000 of the gift cards were redeemed for products. As of December 31, 2016, $33,000 of the remaining gift cards had passed the date at which GoodBuy concludes that the cards will never be redeemed.

How much revenue will appear in the companys income statement in the first year using the percentage-of-completion method? (Enter your answer in whole dollars.)

Revenue: ?

How much gross profit or loss will the company recognize in the first year using the percentage-of-completion method? (Enter your answer in whole dollars.)