On July 10, 2017, Pearl Music sold CDs to retailers on account and recorded sales revenue of $768,000 (cost $560,640). Pearl grants the right to return CDs that do not sell in 3 months following delivery. Past experience indicates that the normal return rate is 15%. By October 11, 2017, retailers returned CDs to Pearl and were granted credit of $84,100. Prepare Pearls journal entries to record (a) the sale on July 10, 2017, and (b) $84,100 of returns on October 11, 2017, and on October 31, 2017. Assume that Pearl prepares financial statement on October 31, 2017.

On June 1, 2017, Kingbird Company sells $238,000 of shelving units to a local retailer, ShopBarb, which is planning to expand its stores in the area. Under the agreement, ShopBarb asks Kingbird to retain the shelving units at its factory until the new stores are ready for installation. Title passes to ShopBarb at the time the agreement is signed. The shelving units are delivered to the stores on September 1, 2017, and ShopBarb pays in full. Prepare the journal entries for this bill-and-hold arrangement (assuming that conditions for recognizing the sale as a bill-and-hold sale have been met) for Kingbird on June 1 and September 1, 2017. The cost of the shelving units to Kingbird is $154,000.

Shamrock Co. is a full-service manufacturer of surveillance equipment. Customers can purchase any combination of equipment, installation services, and training as part of Shamrocks security services. Thus, each of these performance obligations are separate with individual standalone selling prices. Laplante Inc. purchased cameras, installation, and training at a total price of $74,300. Estimated standalone selling prices of the equipment, installation, and training are $91,800, $7,140, and $3,060, respectively. How should the transaction price be allocated to the equipment, installation, and training?