Perfect Desks Inc. (PDI) is an office furniture supplier, and it maintains a limited inventory of desk chairs and NO other types of inventory at its only location. When customers purchase a chair, they can choose from a variety of paint colours to customize the look of the chair. The chairs are shipped to PDI from the manufacturer, and PDI assembles and paints the chairs before delivery to the customer. The customer deals with the manufacturer directly for any warranty issues. PDI reports under IFRS and has a June 30 year end. On May 12, 2021, a customer placed an order for 50 chairs with PDI for a total sale price of $25,000. The customer requested that the chairs NOT be shipped until August 2, 2021, after completion of renovations to their office. The customer paid the invoice in full on June 15, 2021, and the chairs were assembled but NOT yet painted by June 30, 2021. Cost to paint the chairs represents 2% of the total cost of the chairs. An inventory count was performed at PDI on June 30, 2021, and it was noted that the chairs were separated from the rest of the inventory. On July 15, 2021, the chairs were painted, and on July 29, 2021, the chairs were shipped to the customer at their request. Required: a) Identify and explain the type of arrangement for the customer order of 50 chairs. (1.5 marks) b) For PDI's year ended June 30, 2021, use case facts to discuss the revenue recognition criteria for the customer order of 50 chairs, and recommend the appropriate accounting treatment. (6.5 marks)