Make the summary journal entry for the cash sale

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Pina Colada Home Inc. offers its customers two furnace maintenance services. One service is for a one-time cleaning and servicing of a home furnace at a cost of $100. Customers can earn a 5% discount from this price if they pay before Pina Colada's calendar fiscal year for maintenance services to be performed in the following year. The second service offered by Pina Colada is a three-year maintenance plan that sells for $250. The first year's maintenance service for this three-year plan will be delivered before Pina Colada's fiscal year end. No discount for early payment is offered for the second plan.

Question 1: Prepare the summary journal entry for the cash sale of 230 one-time plans for the current year, 115 discounted one-time plans for the following year, and 345 three-year maintenance plans.

Reference no: EM132518814

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