Silver Gym is a wellness organization that offers services to customers who have an active lifestyle. Customers can apply to be a member by paying an annual fee of P700. Inclusive in this annual fee is unlimited access to gym facilities and a voucher for a 25% discount to meditation classes for one year. Silver estimates that only 40% are expected to redeem the discount voucher on meditation classes. A new gym membership separately sells for P720 and one-year application to meditation classes additionally sells for P500. Silver ordinarily provides a 10% discount to regular customers who apply for meditation classes as part of its normal marketing technique.

How much of the transaction price would be allocated to each performance obligation? Show complete solution and label your final answers correctly

Answer rating: 100% (QA)

Silver Gym Bundled Annual membership priceP 700 plus 25 discount voucher on Meditation class Bundled ... View the full answer