Question
2. On July 10, Boogie Footware agrees to a contract to sell 800 pair of flapper shoes for $16,000 ($20.00 each). On September 1, after
2. On July 10, Boogie Footware agrees to a contract to sell 800 pairof flapper shoes for $16,000 ($20.00 each).
On September 1, after 500 pairof have been delivered, Boogie modifies the agreement to reduce the price of the remaining 300 pair of flapper shoes to $10 a pair.
During September, Boogiedelivers 200 pairs of shoes.
- How much revenue should Boogie recognize for the 500 pair that were delivered prior to September 1? $________________
- On September 1, when the contract is modified, prepare the necessary adjusting entry:
|
| Debit | Credit |
|
|
|
|
|
|
|
|
- How much revenue will Boogie recognize for the 200 pair delivered in the month of September? $_____________________________
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Financial Accounting
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
3rd edition
9780077506902, 78025540, 77506901, 978-0078025549
