Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. exercise 5-3 allocating transaction price [lo5-4]

Exercise 5-3 Allocating transaction price [LO5-4] Video Planet ("VP") sells a big screen TV package...

60.1K

Verified Solution

Question

Accounting

image

Exercise 5-3 Allocating transaction price [LO5-4] Video Planet ("VP") sells a big screen TV package consisting of a 60-inch plasma TV, a universal remote, and on-site installation by VP staff. The installation includes programming the remote to have the TV interface with other parts of the customer's home entertainment system. VP concludes that the TV, remote, and installation service are separate performance obligations. VP sells the 60-inch TV separately for $1,280, sells the remote separately for $80, and offers the installation service separately for $240. The entire package sells for $1,500. Required How much revenue would be allocated to the TV, the remote, and the installation service? Allocated Revenue Item Description TV Remote Installation Total revenue

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Suppose a batch of metal shafts produced in a manufacturing company have a variance of 6.25...

Statistics
Q

A pair of helical gears is used with the following properties: 14.5 degree normal pressure angle,...

Mechanical Engineering
Q

You have spent a lot of time learning about the disgusting and heartbreaking effects of family...

Psychology
Q

WER 1 OWER 2 POWER 1 POWER 2 POWER 3

Biology
Q

the principle of working of a potentiometer ii In the following potentiometer circuit AB is...

Physics
Q

Use the theoretical method to determine the probability of the following outcome and event State...

Algebra
Q

What is the weight of the box in pounds lb 50 45 40 55 35...

Algebra
Q

A company purchased a weaving machine for $239,800. The machine has a useful life of...

Accounting
Q

CH2 DQ1 Options Menu: Forum When solving problems where a series of cash flows are...

Accounting
Q

Given the expected increase iq the number of customers, determine if there is a constraint...

Accounting
Q

This information relates to Tamarisk Co. On April 5, purchased merchandise on account...

Accounting
Q

Task 1 - Harmonization of Accounting Standards (5 marks) Once Sir Bryan Carsberg (1996) former...

Accounting