Case 1 On July 1, 2022, Apache Company (the seller) transferred a parcel of undeveloped land to a construction company (the buyer) for a selling price agreed between both parties of $3,000,000. The book value of the land on Apache's books was $1,200,000. Terms of the sale required a down payment of $150,000 and 19 annual payments of $150,000 plus interest at an appropriate interest rate due on each July 1 beginning in 2023. Apache has no significant obligations to perform services after the sale. Required: How much gross profit will Apache recognize in both 2022 and 2023 assuming Apache recognizes revenue at the point of delivery? Case 2 AuctionCo.com sells used products collected from different suppliers. Products are shipped to the customer by the original owners. Assume a customer ordered a used bicycle through AuctionCo.com for $30. Required: 1. Assume AuctionCo.com purchases this used bicycle for $20 from a supplier and takes control before the sale. Under this assumption, how much revenue would the company recognize? Explain your revenue recognition. 2. Assume AuctionCo.com does not take control of this used bicycle before the sale. AuctionCo.com receives $30 from the customer and pays $20 to the supplier. Under this assumption, how much revenue would the company recognize?. Explain your revenue recognition