llLIWhue should Shaw recognize related to its sale to Rica E18-13 (LO3) (Allocate Transaction Price) Crankshaft Company manufact from simple automated machinery to complex systems containing numer $200,000 to $1,500,000 and are quoted inclusive of installation. The installation process dofthe insta of the equipment and does not require proprietary information about the equipment perform to specifications. Crankshaft has the following arrangement with Winkerbean inc aft's products range to the features equipment to t. Cranksh containing numerous components. Unit selling prices . Winkerbean purchases equipment from Crankshaft for a price of $1,00000 and conether it equipment. Crankshaft charges the same price for the equipment irrespective of wn tandalone sllins Using market data, Crankshaft determines installation service is estimated to have a The cost of the equipment is $600,000 51,000,000 and contracts with Crankshaft to install th ve of whether it does the installation o $50,000 * Winkerbean is obligated to pay Crankshaft the $1,000,000 upon the delivery and insta Crankshaft delivers the equipment on June 1.2017, and completes the installation of the equip equipment has a useful life of 10 years. Assume that the equipment and the installation are tw on September 30, 2017. The which should be accounted for separately Instructions (a) How should the transaction price of $1,000,000 be allocated among the service obligations (b) Prepare the journal entries for Crankshaft for this reven ing Crankshaft receives payment when installation is completed. ue arrangement on June 1, 2017 and September 30, 2017, assum