Flounder Windows manufactures and sells custom storm windows for three-season porches. Flounder 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. Flounder enters into the following contract on July 1, 2020, with a local homeowner. The customer purchases windows for a price of $2,520 and chooses Flounder to do the installation. Flounder charges the same price for the windows irrespective of whether it does the installation or not. The customer pays Flounder $2,050 (which equals the standalone selling price of the windows, which have a cost of $1,110) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on September 1, 2020, Flounder completes installation on October 15, 2020, and the customer pays the balance due. Given uncertainty of finding skilled labor, Flounder is unable to develop a reliable estimate for the standalone selling price of the installation. Prepare the journal entries for Flounder in 2020.

ce Account Titles and Explanation Debit Credit 120 Cash 2050 Accounts Receivable Sales Revenue 2050 (To record sales) Cost of Goods Sold 1110 I NA Inventory 1110 (To record cost of goods sold) 2020 Cash LIT! 470 470 (To record payment received)