On July 1, Wiggins Associates enters into a contract to provide consulting services to Pennsylvania University (PU). The contract is anticipated to last four months and is intended to achieve significant cost savings at the university. The contract stipulates that PU will pay Wiggins $43,000 at the end of each month, and, if total cost savings reach a specific target, PU will pay an additional $38,000 to Wiggins at the end of the contract. Wiggins estimates a 80% chance that cost savings will reach the target. Assume that Wiggins estimates uncertain consideration as the most likely amount Required: Do the following for Wiggins: a. Prepare the journal entry on July 31 to record the first month of revenue under the contract b. Assuming total cost savings exceed the target, prepare the journal entry, if any, on October 31 to record receipt of the $38,000 bonus ignore the normal October payment of $43,000). c. Assuming total cost savings do not reach the target, prepare the journal entry, if any, on October 31 to record failure to receive the $38,000 bonus (ignore the normal October payment of $43,000) (For all requirements, If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete but not entirely correct. No General Journal Debit Credit Date July 31 1 Cash Bonus receivable Service revenue ooo 43,000 7,600 50,000 2 October 31 38,000 Cash Bonus receivable Service revenue 30,400 7,600 3 October 31 68.400 Service revenue Bonus receivable Cash 30,400 38.000 3