Sandhill Company manufactures equipment. Sandhill's products range from simple automated machinery to complex systems containing numerous components. Unit selling prices range from $265,000 to $1,550,000, and are quoted inclusive of installation. The installation process does not involve changes to the features of the equipment to perform to specifications. Sandhill has the following arrangement with Winkerbean Inc. Winkerbean purchases equipment from Sandhill on May 2, 2020, for a price of $1,168,500 and contracts with Sandhill to install the equipment. Sandhill charges the same price for the equipment irrespective of whether it does the installation or not. Using market data, Sandhill determines that the installation service is estimated to have a fair value of $61,500. The cost of the equipment is $700,000. Winkerbean is obligated to pay Sandhill the $1,107,000 upon delivery of the equipment and the balance on the completion of the installation Sandhill delivers the equipment on June 1, 2020, and completes the installation of the equipment on September 30, 2020. Assume that the equipment and the installation are two distinct performance obligations that should be accounted for separately. X Your answer is incorrect. Allocate the transaction price of $1,168,500 among the performance obligations of the contract. Assume Sandhill follows IFRS. (Round percentage allocations to 2 decimal places, e.g. 12.25 and final answers to O decimal places, e.g. 5,275.) Delivery equipment $ 1048737 Installation $ 58263 e Textbook and Media List of Accounts Prepare any journal entries for Sandhill on May 2, June 1, and September 30, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts. Record journal entries in the order presented in the problem.) Date Debit Credit Account Titles and Explanation Unearned Revenue September 30, 2020 58263 Service Revenue 58263 June 1, 2020 + Accounts Receivable 1107000 Sales Revenue 1048737 Unearned Revenue 58263 (To record sales) May 2, 2020 Cost of Goods Sold 700000 Inventory 700000 (To record cost of goods sold) September 30, 2020 Cash 1107000 Accounts Receivable 1107000