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McComb Contractors received a contract to renovate a room for a customer. The customer will pay a base fee of $4,900. The customer will pay
McComb Contractors received a contract to renovate a room for a customer. The customer will pay a base fee of $4,900. The customer will pay an additional 25% of the base fee if the company finishes 10 days early and 15% if McComb finishes 5 days early. The probability of finishing 10 days early is 20% and the probability of finishing 5 days early is 60%. What is the expected transaction price with variable consideration estimated as the expected value?
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