Question 4: J.K. Bakery Jessica is the owner of a successful bakery, J.K. Bakery, located on the Upper West Side. Her bakery specializes in mini pistachio cakes, mini honey cakes and brownies. She sells the mini cakes for $6 and the brownies for $2. Jessica recently introduced new glutenvfree sugarfree cupcakes. To promote the new product, a $1 voucher that can be used for future purchases, valid for one year, was given to all customers that bought a $5 gluten-free Sugar-free cupcake. During December 2018, 1,000 gluten-free sugarfree cupcakes were sold. None of the vouchers related to these cupcakes had been redeemed by the end of 2013. Given the success of the bakery Jessica expects 90% of the vouchers from these sales to be redeemed in 2019. Included in the sales of 2018 is $5,000 for the sales of these cupcakes. Additional information: For this question assume that Jessica is an expert in her eld, and therefore her estimates are reliable and can be used for any necessary computations. Required: a. When taking into consideration the new revenue recognition standard learned in class, U.S. GAAP Topic 606 (IFRS 15), is there any issue with the amount of revenue recognized for the sale of these cupcakes? Explain why or why not