Question
On July 31, OYZ Company contracted to have two products built by TAB Manufacturing for a total of 270,000. The contract specifies that payment will
On July 31, OYZ Company contracted to have two products built by TAB Manufacturing for a total of 270,000. The contract specifies that payment will only occur after both products have been transferred to OYZ Company. TAB determines that the standalone prices are 70,000 for Product 1 and 200,000 for Product 2. On August 1, Product 1 has been transferred. On November 1, Product 2 has been transferred.
A- What is the TABs journal entry to record the sales occurred on August 1.
B- What is the TABs journal entry to record the sales occurred on November 1
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Advanced Financial Accounting
Authors: Richard Lewis, David Pendrill
5th Edition
0273622919, 978-0273622918
