Which of the following would not be considered a multiple-deliverable arrangement?
A) A product sold with a manufacturer's warranty, where both the product and warranty have separately identifiable revenue streams.
B) A product sold with a manufacturer's warranty which covers only product assurances, where only the product has a separately identifiable revenue stream.
C) Customer Loyalty Programs.
D) Franchise Fees.

Question

Quizplus · Accepted Answer

In a multiple-deliverable arrangement, there are several components or deliverables that can be separated and have value on their own. In choice B, the manufacturer's warranty that covers only product assurances and does not have a separately identifiable revenue stream is not considered a separate deliverable. It is an integral part of the product sale, unlike the other options where the components can be identified separately and have distinct value.

Which of the Following Would Not Be Considered a Multiple-Deliverable