Delivery of Gold Bars and Insurance are the two performance obligations in this contract.
1. Cash Dr, Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â $154,000
  To Deferred revenue - Gold bars         $146,300
  To Deferred revenue - Insurance          $7,700
(Being cash is received)
2. Deferred revenue - Gold bars       $146,300
   To Sales revenue                       $146,300
(Being Sales revenue is recorded)
3. Deferred revenue - Insurance        $7,700
   To Service revenue                   $7,700
(Being service revenue is recorded)
Total Standalone Prices = Value of Gold Bars + Standalone Selling Price of Insurance
= ($1,520 × 95) + ($80 × 95)
= $144,400 + $7,600
= $152,000
Each Performance Obligation Share:
Gold Bars = $144,400 ÷ $152,000 × 100
= 95%
Insurance Services = $7,600 ÷ $152,000 × 100
= 5%
Allocation of Total Selling price on the basis of Standalone Selling Prices
Gold Bars = $154,000 × 95%
= $146,300
Insurance Services = $154,000 × 5%
= $7,700
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