Chapter 15, Problem 15.15Q

To determine

Bundled product:

Bundled product is a package of two or more products (or services) that is sold at single price but each individual item has the capacity to be sold as separate item at their stand alone price. The price of bundled product is less than the total price of individual product in the bundled because selling and package cost is reduced. The common methods of allocation of revenue are stand alone revenue allocation method and incremental revenue allocation method.

The way to resolve the dispute related to the allocation of revenue in bundled product.