Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. video planet (vp) sells a big screen tv package co

Video Planet (VP) sells a big screen TV package consisting of a 60-inch plasma TV,...

80.2K

Verified Solution

Question

Accounting

image
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 $2,090 and sells the remote separately for $270, and offers the entire package for $2,580, VP does not sell the Installation service separately. VP is aware that other similar vendors charge $320 for the installation service. VP also estimates that it Incurs approximately $270 of compensation and other costs for VP staff to provide the installation service. VP typically charges 50% above cost on similar sales. Required: 1. to 3. Calculate the stand-alone selling price of the installation service using each of the following approaches. Stand Alone Selling Price Adjusted market assessment Expected costus margin Residual

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

An urn contains 11 white balls and 5 black balls. A simple random sample with replacement...

Basic Math
Q

1. Write a program which simulates rolling dice. It should: Display the random number rolled Ask...

Programming
Q

Pachur Company, which has only one product, has provided the following data concerning its most recent...

Accounting
Q

A beam contains 2 108 doubly charged positive ions per cubic centimeter all of which...

Physics
Q

Find the mean median and mode s of the data in the following stem and...

Statistics
Q

Last month Walmart surveyed 3000 customers to find out w one month

Statistics
Q

2 Anton 10 B i Mostres a 10 10 x x 8x 13 KOCAELO swyckel...

Algebra
Q

The following salaried employees of Mountain Stone Brewery in Fort Collins,...

Accounting
Q

Johnson Enterprises uses a computer to handle its sales invoices. Lately, business has been so...

Accounting
Q

Questions 30.000 ha 106 model to www. with for the IND . Questions 30.000...

Accounting
Q

The Woody Group of Woody and its investee companies Coo and Hoo at 31 May...

Accounting
Q

Selected item Attempt Preview Preview In Window Small Prevlew Purchases Transactions Xanadu Company purchased merchandise...

Accounting