Computing a Transaction Price On June 1, 2020, Consulting Inc enters into a contract with a customer to build a website for its start-up business for $40,000, plus a possible performance bonus. The contract includes the creation of the website as a vehicle to communicate information about the customer's products, to sell products, and to collect payment for the products. The pricing of the customized website project includes a performance bonus of $8,000 to be paid to Consulting Inc. if the website is completed by July 31, 2020. The performance bonus will be reduced for each week beyond the due date (up to three weeks). Based on Consulting Inc.'s historical experience and the assessment of its current capabilities, the following outcomes are estimated. Completion Date Probability of Outcome Performance Bonus July 31, 2020 55% $8,000 Aug 7, 2020 30% 6,400 Aug. 14, 2020 Aug. 21, 2020 3,200 1096 4,800 5% Indicate which method is appropriate in estimating the variable consideration Estimate the transaction price for Consulting Inc.'s revenue contract