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Cullumber Windows manufactures and sells custom storm windows for porches. Cullumber also provides installation service for the windows. The installation process does not involve changes
Cullumber Windows manufactures and sells custom storm windows for porches. Cullumber also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be performed by other vendors. Cullumber enters into the following noncancellable contract on July with a local homeowner. The customer purchases windows for a price of $ and chooses Cullumber to do the installation. Cullumber charges the same price for the windows regardless of whether it does the installation or not. The price of the installation service is estimated to have a fair value of $ The customer pays Cullumber $which equals the fair value of the windows, which have a cost of $ on delivery and the remaining balance on installation of the windows. The windows are delivered on September Cullumber completes installation on October and the customer pays the balance due. Prepare the journal entries for Cullumber on July September and October Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select No Entry" for the account titles and enter for the amounts. Round percentage allocations to decimal places, eg and final answers to decimal places, eg Record journal entries in the order presented in the problem. List all debit entries before credit entries.
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