Shaw Company sells goods that cost $276000 to Ricard Company for $377200 on January 2, 2025. The sales price includes an installation fee, which has a standalone selling price of $36800. The standalone selling price of the goods is $340400. The installation is considered a separate performance obligation and is expected to take 6 months to complete (installation was completed on June 18, 2025).

Instructions

1. How much revenue does Shaw record on January 2, 2025?
2. How much income should Shaw report related to its sale to Ricard in its income statement prepared for the quarter ended March 31, 2025?