Identify the number of performance obligations for each scenario:  A: Best Buy sells a dishwasher for $400. They include a warranty for one-year for free.  The standalone price of the warrant is $80. Warranties are available from third-party companies. B: Abibas sells a customer 3 pairs of shoes. The customer purchases the shoes online, and Abibas agrees to deliver the shoes to the customer’s home. A: 1 B: 3 A: 1 B:4 A:2 B:3 A:2 B:4 None of the above

Question

Identify the number of performance obligations for each scenario:

 A: Best Buy sells a dishwasher for $400. They include a warranty for one-year for free.  The standalone price of the warrant is $80. Warranties are available from third-party companies.

B: Abibas sells a customer 3 pairs of shoes. The customer purchases the shoes online, and Abibas agrees to deliver the shoes to the customer’s home.

A: 1 B: 3
A: 1 B:4
A:2 B:3
A:2 B:4
None of the above

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