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What journal entries are necessary for Enterprise

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Reference no: EM132889980

Problem - Enterprise Solutions Inc. licenses its productivity software to Blackmon Company for $100,000, payable at con- tract inception. Enterprise agrees to provide semiannual software upgrades over the 5-year length of the contract to enable Blackmon to benefit from any technological advancement. Enterprise concludes that the software license is not distinct from the promised upgrades. What journal entries are necessary for Enterprise to account for this transaction?

Reference no: EM132889980

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