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CLO5 2 points Amman Corp. enters into a contract with a customer to build an apartment building for JOD1,000,000. The customer hopes to rent apartments
CLO5 2 points Amman Corp. enters into a contract with a customer to build an apartment building for JOD1,000,000. The customer hopes to rent apartments at the beginning of the school year and provides a performance bonus of JOD150,000 to be paid if the building is ready for rental beginning August 1, 2023. The bonus is reduced by JOD50,000 each week that completion is delayed. Amman Corp. commonly includes these completion bonuses in its contracts and, based on prior experience, estimates the following completion outcomes: Completed by Probability August 1, 2023 70% 20 August 8, 2023 August 15, 2023 After August 15 5 5 Determine the transaction price for this contract. Your
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