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find the allocated transaction price of equipment and service! thank you! :) Required information PB6-4 (Algo) Recording Journal Entry after Allocating Transaction Price to Performance
find the allocated transaction price of equipment and service! thank you! :)
Required information PB6-4 (Algo) Recording Journal Entry after Allocating Transaction Price to Performance Obligations (LO 6-5) [The following information applies to the questions displayed below) Sky Communcations (SKY) usually sells a cell phone for $282 plus 12 months of cellular service for $658. SKY has a special, time-limited offer in which it gives the phone for free and sells the 12 months of cellular service for $480. Each phone costs SKY $190, which it accounts for in its perpetual inventory system. On July 1, SKY sells one of the special packages, delivers the phone, collects the 5480 cash, and starts the cellular service, PB6-4 (Algo) Part 1 Required: 1. For the special offer, how much of the $480 relates to the sale of the cell phone versus the sale of the cellular service? Allocated Transaction Price Equipment Service Step by Step Solution
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