Raymond's, a travel agency, chartered a cruise ship for two weeks beginning January 23, 2006, for $200,000. In return, the ship's owner agreed to pay all costs of the cruise. In 2005, Raymond's sold all available space on the ship for $260,000. It incurred $40,000 in selling and other costs in doing so. All the $260,000 was received in cash from passengers in 2005. Raymond's paid $50,000 as an advance payment to the ship owner in 2005. How much, if any, of the $260,000 was revenue to Raymond's in 2005? Why? Does the question of whether passengers were entitled to a refund in 2006 if they canceled their reservations make any difference in the answer? Why? (11 marks) C. \"Unbilled\" Receivables An architectural firm has \"time and materials\" contracts that obligate its clients to pay for all time applied to the client's project. The balance sheet of the architectural firm shows a significant asset labeled Unbilled Receivables. The firm says this represents inprocess projects, valued at the rates at which the customers will be charged for the architects' time. Why would a firm do this instead of valuing projects in process at their cost, the same as a manufacturing firm would value its in-process inventory? Does it make any difference in the reported owners' equity for the architectural firm to report such in-process work as receivables rather than as inventory? Why