Please help. Due tonight, 11:59pm. Just need answers, no time, doing other homeworks. Thank you!
Video Planet (VP) sells a big screen TV package consisting of a 60-inch plasma TV, a universal remote, and on-site installation by VP staff. The installation includes programming the remote to have the TV interface with other parts of the customer's home entertainment system. VP concludes that the TV, remote, and installation service are separate performance obligations. VP sells the 60-inch TV separately for $2,030 and sells the remote separately for $240, and offers the entire package for $2,460. VP does not sell the installation service separately. VP is aware that other similar vendors charge $290 for the installation service. VP also estimates that it incurs approximately $240 of compensation and other costs for VP staff to provide the installation service. VP typically charges 50% above cost on similar sales. Required: 1. to 3. Calculate the stand-alone selling price of the installation service using each of the following approaches. Stand-Alone Selling Price Adjusted market assessment Expected cost plus margin Residual Brady Construction Company contracted to build an apartment complex for a price of $5,200,000. Construction began in 2021 and was completed in 2023. The following is a series of independent situations, numbered 1 through 6, involving differing costs for the project. All costs are stated in thousands of dollars. Situation Costs Incurred During Year 2021 2022 2023 1,520 2,190 960 1,520 960 2,480 1,520 2,190 1,760 520 3,020 1,040 520 3,020 1,440 520 3,020 2,000 Estimated Costs to Complete (As of the End of the Year) 2021 2022 2023 3,150 960 3,150 2,480 3,150 1,660 3,640 885 3,640 1,660 4,800 1,880 mino Required: Complete the following table. (Do not round intermediate calculations. Enter answers in dollars. Round your final answers to the nearest whole dollar. Negative amounts should be indicated by a minus sign.) Gross Profit (Loss) Recognized Revenue Recognized Over Time Revenue Recognized Upon Completion 2021 2022 2023 2021 2022 2023 Situation 202 - N| 3 4 | 5 | o Velocity, a consulting firm, enters into a contract to help Burger Boy, a fast-food restaurant, design a marketing strategy to compete with Burger King. The contract spans eight months. Burger Boy promises to pay $39,000 at the end of each month. At the end of the contract, Velocity either will give Burger Boy a refund of $13,000 or will be entitled to an additional $13,000 bonus, depending on whether sales at Burger Boy at year-end have increased to a target level. At the inception of the contract, Velocity estimates an 80% chance that it will earn the $13,000 bonus and calculates the contract price based on the expected value of future payments to be received. At the start of the fifth month, circumstances change, and Velocity revises to 60% its estimate of the probability that it will earn the bonus. At the end of the contract, Velocity receives the additional consideration of $13,000. Required: 1. to 4. Prepare the journal entries related to the contract. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 2 3 4 Record the entry to record revenue each month for the first four months of the contract. Note: Enter debits before credits. Transaction General Journal Debit Credit Velocity, a consulting firm, enters into a contract to help Burger Boy, a fast-food restaurant, design a marketing strategy to compete with Burger King. The contract spans eight months. Burger Boy promises to pay $39,000 at the end of each month. At the end of the contract, Velocity either will give Burger Boy a refund of $13,000 or will be entitled to an additional $13,000 bonus, depending on whether sales at Burger Boy at year-end have increased to a target level. At the inception of the contract, Velocity estimates an 80% chance that it will earn the $13,000 bonus and calculates the contract price based on the expected value of future payments to be received. At the start of the fifth month, circumstances change, and Velocity revises to 60% its estimate of the probability that it will earn the bonus. At the end of the contract, Velocity receives the additional consideration of $13,000 Required: 1. to 4. Prepare the journal entries related to the contract. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 3 4 Record the entry at the start of fifth month, to recognize the change in estimate associated with the reduced likelihood that the $13,000 bonus will be received. Note: Enter debits before credits. Transaction General Journal Debit Credit Velocity, a consulting firm, enters into a contract to help Burger Boy, a fast-food restaurant, design a marketing strategy to compete with Burger King. The contract spans eight months. Burger Boy promises to pay $39,000 at the end of each month. At the end of the contract, Velocity either will give Burger Boy a refund of $13,000 or will be entitled to an additional $13,000 bonus, depending on whether sales at Burger Boy at year-end have increased to a target level. At the inception of the contract, Velocity estimates an 80% chance that it will earn the $13,000 bonus and calculates the contract price based on the expected value of future payments to be received. At the start of the fifth month, circumstances change, and Velocity revises to 60% its estimate of the probability that it will earn the bonus. At the end of the contract, Velocity receives the additional consideration of $13,000. Required: 1. to 4. Prepare the journal entries related to the contract. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet
