Question
Ayayai Company sells goods that cost $240,000 to Ricard Company for $328,000 on January 2, 2025. The sales price includes an installation fee, which
Ayayai Company sells goods that cost $240,000 to Ricard Company for $328,000 on January 2, 2025. The sales price includes an installation fee, which has a stand-alone selling price of $32,000. The standalone selling price of the goods is $296,000. The installation is considered a separate performance obligation and is expected to take 6 months to complete (installation was completed on June 18, 2025). (a) How much revenue does Ayayai record on January 2, 2025? (b) Revenue $ eTextbook and Media Save for Later Attempts: 0 of 3 used Submit Answer
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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
Managerial Accounting Tools for Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
7th edition
978-1118334331, 1118334337, 978-1119036449, 1119036445, 978-1119036432
