Crane Treasures Company sells home furnishings. On February 1, Crane Treasures entered into a contract with Simon Development Ltd. for home furnishings with a selling price of $24,000 and terms of n/30. The goods cost Crane $16,800. Crane Treasures has a stated return policy of 20 days from the date of sale and based on past transactions, management determines that returns are 5% of sales 65% of the time and 10% of sales 35% of the time. The goods were delivered to Simon Development on February 15. Crane Treasures uses the expected value method to estimate returns and the contract-based approach for revenue recognition. (b) Your answer is correct. Calculate the transaction price for this contract. Transaction price $ 22380 e Textbook and Media List of Accounts Attempts: 1 of 15 used Prepare the journal entries to recognize revenue on the appropriate date. (Hint: The expected value method is also used to determine the amount for cost of goods sold and estimated inventory returns.) (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit (To record sales on account.) (To record cost of goods sold.) List of Accounts Save for Later Attempts: 0 of 15 used Submit