On January 1, 2019, Fulton Inc. enters into a contract with Gibson to deliver goods. Gibson pays $100,000 at the time the contract is signed, at which time the goods are transferred and Fultons performance obligation is complete. In addition, Gibson agrees to pay Fulton $100,000 on December 31, 2019, and December 31, 2020. If Fulton entered into a financing arrangement with Gibson it would charge an interest rate of 9%.

Instructions On January 1, 2019, Fulton Inc. enters into contract with Gibson to deliver goods. Gibson pays $100,000 at the time the contract is signed, at which time the goods are transferred and Fulton's performance obligation is complete. In addition, Gibson agrees to pay Fulton $100,000 on December 31, 2019, and December 31, 2020. If Fulton entered into a financing arrangement with Gibson it would charge an interest rate of 9% Required: Analysis Shaded cells have feedback. X 1. Determine the transaction price for the contract with Gibson. 2. Prepare the journal entries to record Fulton's 2019 sales revenue and interest revenue. 3. Next Level What is the objective of adjusting the transaction price to reflect the time value of money? 1. Determine the transaction price for the contract with Gibson. Additional Instructions Transaction price $275,911.00 X Points: 0/1 Feedback Check My Work When a customer navs a seller well after the promised coods or