{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-05-26T23:14:03-04:00", "answer_date": "2024-05-26 23:14:03", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "1765858", "url": "\/study-help\/questions\/king-rat-pest-control-incorporated-was-recently-hired-to-exterminate-1765858", "question_creation_date_js": "2024-05-26T23:14:03-04:00", "question_creation_date": "May 26, 2024 11:14 PM", "meta_title": "[Solved] King Rat Pest Control, Incorporated was r | SolutionInn", "meta_description": "Answer of - King Rat Pest Control, Incorporated was recently hired to exterminate an office complex for $300,000. King Rat will re | SolutionInn", "meta_keywords": "king,rat,pest,control,incorporated,recently,hired,exterminate,office,complex,$300,000,will", "question_title_h1": " King Rat Pest Control, Incorporated was recently hired to exterminate an office complex for $300,000. King Rat will receive an additional $10,000 based on", "question_title": " King Rat Pest Control, Incorporated was recently hired to exterminate an", "question_title_for_js_snippet": "King Rat Pest Control, Incorporated was recently hired to exterminate an office complex for $300,000 King Rat will receive an additional $10,000 based on the success of the extermination The additional $10,000 will be paid in full if the extermination is fully successful after one month That amount will be decreased to $8,000 if the extermination is successful after two months and $5,000 if successful after three months Based on past experience with similar contracts, King Rat estimates that there is a 20 probability that the process will be successful with the one month period, a 75 probability that it will take two months to be successful, and a(n) 5 probability that the process will be effective after three months Read the requirements Requirement a Determine the transaction price for this contract using the expected value approach The transaction price for this contract using the expected value approach is Requirement b Determine the transaction price for this contract using the most likely amount approach The transaction price for this contract using the most likely amount approach is", "question_description": "\"image\"image", "transcribed_text": "King Rat Pest Control, Incorporated was recently hired to exterminate an office complex for $300,000. King Rat will receive an additional $10,000 based on the success of the extermination. The additional $10,000 will be paid in full if the extermination is fully successful after one month. That amount will be decreased to $8,000 if the extermination is successful after two months and $5,000 if successful after three months. Based on past experience with similar contracts, King Rat estimates that there is a 20% probability that the process will be successful with the one-month period, a 75% probability that it will take two months to be successful, and a(n) 5% probability that the process will be effective after three months. Read the requirements. Requirement a. Determine the transaction price for this contract using the expected value approach. The transaction price for this contract using the expected value approach is Requirement b. Determine the transaction price for this contract using the most-likely-amount approach. The transaction price for this contract using the most-likely-amount approach is", "related_book": { "title": "Managerial Accounting", "isbn": "B010IKDQZM", "edition": "10th Edition", "authors": "Carl S. Warren, James M. Reeve, Jonathan E. Duchac", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/125.jpg", "uri": "\/textbooks\/managerial-accounting-10th-edition-b010ikdqzm", "see_more_uri": "" }, "free_related_book": { "isbn": "0367716488", "uri": "\/textbooks\/forest-traders-1st-edition-9780367716486-137890", "name": "Forest Traders", "edition": "1st Edition" }, "question_posted": "2024-05-26 23:14:03", "see_more_questions_link": "\/study-help\/questions\/business-marketing-2022-June-08", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/study-help\/questions\/1-determine-the-ph-of-a-43104-m-naoh-solution-331271", "description": "1) Determine the pH of a 4.3*10^-4 M NaOH solution. 2) why would we say that a solution with a H+ concentration of 1.00*10^-7 M is said to be neutral if it contains acid, shouldn't be acidic?", "stars": 3 }, { "url": "\/an-art-museum-covers-its-operating-expenses-by-charging-a", "description": "An art museum covers its operating expenses by charging a small admission fee. The objective of the nonprofit organization is to break even. A local arts enthusiast has just pledged an annual...", "stars": 3 }, { "url": "\/study-help\/accounting-information-systems\/what-are-the-objectives-of-a-fixed-asset-system-1834014", "description": "What are the objectives of a fixed asset system?", "stars": 3 }, { "url": "\/study-help\/business-statistics-in-practice\/b-add-a-lag1-component-to-the-model-of-a-1982086", "description": "=+b) Add a lag1 component to the model of (a). How does it change the coefficient of Year?", "stars": 3 }, { "url": "\/dalton-hair-stylistss-adjusted-trial-balance-follows-prepare-daltons-income", "description": "Dalton Hair Stylists's adjusted trial balance follows. Prepare Dalton's income statement for the year ended December 31, 2018. DALTON HAIR STYLISTS Adjusted Trial Balance December 31, 2018 Balance...", "stars": 3 }, { "url": "\/study-help\/questions\/b-01-c-21-d-24-e-38-f-42-9891831", "description": "(b) (0,1) (c) (2,1) (d) (2,4) (e) (3,8) (f) (4,2) Which three ordered pairs represent an input value of the function with its corresponding output value? Select the three correct answers", "stars": 3 }, { "url": "\/study-help\/questions\/can-someone-help-me-with-this-its-for-an-accounting-4219825", "description": "Can someone help me with this its for an Accounting Project involving PS Music. (Optional) UsingthedatafromChapter3,prepareanend-of-periodspreadsheet....", "stars": 3 }, { "url": "\/study-help\/questions\/418-consider-the-following-co-oxidation-reactions-vervie-k-co-1026572", "description": "4.18 Consider the following CO oxidation reactions: VERVIE k CO + OH \/ CO+H of chemical me k 2 CO + O2 CO2 + 0, shemu where k (cm\/gmol-s) = 1.17 107 T (K) 1.35 exp[+3000\/RT (K)], k (cm\/ ms, the...", "stars": 3 }, { "url": "\/study-help\/questions\/you-own-a-clothing-store-that-emphasizes-unique-clothing-and-994874", "description": "You own a clothing store that emphasizes unique clothing and very high customer service as its competitive advantage. Sales people help customers select clothes that make them look good and fit their...", "stars": 3 }, { "url": "\/study-help\/questions\/read-the-following-note-on-organisational-resilience-and-on-the-1000066", "description": "Read the following note on organisational resilience and on the basis of the motivation stipulated for the proposed study answer all questions that follow. Organisational Resilience 21st century...", "stars": 3 }, { "url": "\/study-help\/questions\/you-own-a-catering-hall-and-next-saturday-you-have-986110", "description": "You own a catering hall, and next Saturday, you have two events booked. At noon, you have a luncheon scheduled until 5:00, and then you have a Sweet 16 party, with guests scheduled to arrive at 7:00...", "stars": 3 }, { "url": "\/study-help\/questions\/1-explain-the-difference-between-manufacturing-operations-and-service-operations-1003027", "description": "1. Explain the difference between manufacturing operations and service operations. 2. Provide a sample of a service organization. Reflection Activity R eflect by relating the university VMO with your...", "stars": 3 }, { "url": "\/study-help\/questions\/a-firm-has-issued-20-million-in-longterm-bonds-that-8386885", "description": "A firm has issued $20 million in long-term bonds that now have 10 years remaining until maturity. The bonds carry an 8% annual coupon and are selling in the market for $877.10. The firm also has $45...", "stars": 3 }, { "url": "\/three-successive-resonance-frequencies-in-an-organ-pipe-are-1310", "description": "Three successive resonance frequencies in an organ pipe are 1310, 1834, and 2358 Hz. (a) Is the pipe closed at one end or open at both ends? (b) What is the fundamental frequency? (c) What is the...", "stars": 3 }, { "url": "\/study-help\/valuation-measuring-and-managing\/6-identify-and-describe-two-privatetransaction-approaches-to-corporate-divestiture-1675156", "description": "6. Identify and describe two private-transaction approaches to corporate divestiture and two public-transaction approaches. When are private transactions likely to create more value than public...", "stars": 3 }, { "url": "\/study-help\/valuation-measuring-and-managing\/5-an-executive-is-reluctant-to-sell-a-highperforming-business-1675155", "description": "5. An executive is reluctant to sell a high-performing business unit, arguing that the sale would dilute the companys ROIC to a level below the WACC and make the company value-destroying. Discuss.", "stars": 3 }, { "url": "\/study-help\/valuation-measuring-and-managing\/4-acompany-intends-to-sell-one-of-its-larger-business-1675154", "description": "4. Acompany intends to sell one of its larger business units to a strategic buyer. The companys controller is concerned because the salewould result in overcapacity of 25 percent in the companys...", "stars": 3 } ], "next_back_navigation": { "previous": "\/study-help\/questions\/exercise-109-straightline-amortization-of-bond-premium-lo-p3-quatro-1765857", "next": "\/study-help\/questions\/sharp-company-manufactures-a-product-for-which-the-following-standards-1765859" }, "breadcrumbs": [ { "name": "Study help", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers" }, { "name": "Business", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers\/business" }, { "name": "Accounting", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/business-accounting" }, { "name": " King Rat Pest Control, Incorporated was recently hired to exterminate an", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/king-rat-pest-control-incorporated-was-recently-hired-to-exterminate-1765858" } ], "skill_details": { "skill_id": "9", "skill_name": "Accounting", "parent_id": "1" } } } }