1. JRE2 Inc. entered into a contract to install a pipeline for a fixed price...
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Accounting
1. JRE2 Inc. entered into a contract to install a pipeline for a fixed price of $2,290,000. JRE2 recognizes revenue upon contract completion.
Cost incurred
Estimated Cost to Complete
2017
$
262,000
$
1,610,000
2018
1,660,000
560,000
2019
510,000
0
In 2018, JRE2 would report gross profit (loss) of:
Multiple Choice
$0.
$(242,000).
$(192,000).
$(334,000).
2. The 950 is wrong, just ignore it
Beaumont Company enters into a contract to provide a high quality diving-certification preparation package, including goggles, snorkels, air tanks, fins, a wetsuit, and 5 private lessons to get ready for diving certifications. The entire package sells for $2,500. Other competing sellers in the same region charge an average of $250 for a set of goggles and $750 for the lessons, if sold separately. Beaumont Company usually sells at a 5% discount compared to other shops, since it is a bit farther away from the ocean. Required: What would be Beaumont's stand-alone selling price of the goggles and the lessons, based on adjusted market assessment approach? (Round your answer to 2 decimal places.) Stand-alone selling price $ 950.00
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The 950 is wrong, just ignore it