IvanhoeCompany manufactures equipment.Ivanhoe's products range from simple automated machinery to complex systems containing numerous components. Unit selling prices range from $200,000to $1,530,000, and are quoted inclusive of installation. The installation process does not involve changes to the features of the equipment to perform to specifications.Ivanhoehas the following arrangement with Winkerbean Inc.

Winkerbean purchases equipment fromIvanhoeon May 2, 2020, for a price of $1,115,500and contracts withIvanhoeto install the equipment.Ivanhoecharges the same price for the equipment irrespective of whether it does the installation or not. Using market data,Ivanhoedetermines that the installation service is estimated to have a fair value of $34,500. The cost of the equipment is $500,000.Winkerbean is obligated to payIvanhoethe $1,081,000upon delivery of the equipment and the balance on the completion of the installation

Ivanhoedelivers the equipment on June 1, 2020, and completes the installation of the equipment on September 30, 2020. Assume that the equipment and the installation are two distinct performance obligations that should be accounted for separately.

1) Allocate the transaction price of $1,115,500among the performance obligations of the contract. AssumeIvanhoefollows IFRS.(Round percentage allocations to 2 decimal places, e.g. 12.25 and final answers to 0 decimal places, e.g. 5,275.)

Delivery equipment $

Installation $

2) Prepare any journal entries forIvanhoeon May 2, June 1, and September 30, 2020.(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 0 for the amounts. Record journal entries in the order presented in the problem.)