The transaction price is the amount of consideration that the seller expects to be entitled to in exchange for the transfer of promised goods or services to a customer. Which of the following can affect the transaction price?

		Consideration payable to customers
		Refund liabilities
		Both of the above
		Neither of the above

In order for a performance obligation to be considered a separate performance obligation under the revenue recognition standard, the obligation must be

		Integrated or bundled into a combined product.
		Useful to the customer on its own or with another readily available resource.
		Material considering the seller's total assets.
		Interrelated with other goods or services within the contract.

The following steps below, which are listed in no particular order, relate to a merchandiser (Taylor Corp.) and a customer (Swift Co.).

The transaction price of a calculator manufactured by Taylor Corp. is determined to be $100.

A performance obligation is identified as the providing of one fully functioning calculator to Swift Co.

The $100 retail price of the calculator is fully allocated to the obligation of Taylor Corp. to provide a fully functioning calculator to Swift Co.

A contract is established through common business practices where Taylor Corp. provides a fully functioning calculator to Swift Co. for the listed retail price of $100.

Swift Co. takes possession of the calculator after providing his credit card as a means of payment of $100. At this point, Taylor Corp. recognizes revenue.

Put the below items in order of the five steps of the revenue recognition process.

		2, 4, 1, 3, 5
		2, 4, 1, 5, 3
		4, 2, 1, 5, 3
		4, 2, 1, 3, 5