Richardson Custom Homes enters into a contract to build a house for a the Beckham family. Richardson Custom Homes is responsible for the overall management of the project and identifies various goods and services that will be completed including construction of the home, plumbing and electrical services, painting, and carpentry. How many performance obligations are in this contract? Explain your answer.
Q: After preparing and posting the closing entries for revenues and expenses, the income summary accoun...
A: The closing entries are prepared to close the temporary accounts of the business including revenue, ...
Q: YellowCard Property Managers operates upscale student apartment buildings. On May 1, 2020, Cheyenne ...
A: When a contract is signed between two or more parties, it entails that there are some terms and cond...
Q: F. Mercury, Capital account has a credit balance of $23,8000 before closing entries are made. If tot...
A: Solution: net income for the period closed to capital account = Revenues - expenses = 75200 - 55000 ...
Q: The following income statement items appeared on the adjusted trial balance of Schembri Manufacturin...
A: An income statement is a financial report that indicates the revenue and expenses of a business. It ...
Q: A Blue Ocean Co. has the following balance sheet: Cash ...
A: Retained earning is the portion of the net income which is left after dividend payout to the company...
Q: The monthly income statement for Jordan Stores is given below: 1st Branch 2nd Branch Total...
A: In the given question, if 1st branch is eliminated, all the revenues and costs associated with the b...
Q: Which of the reconciling items listed below require an entry in the company's accounts? (None of the...
A: Reasoning: Bank service charges are to be recorded in the books by the company since it is unrecord...
Q: You make deposits of $300 each year for the next 17 years at 5 % compounded annually. How much is in...
A: Annual deposit (P) = $300 Interest rate (r) = 5% Period (n) = 17 Years
Q: Show how the following items will appear in the capital accounts of the partners Ali and Ahmed when ...
A: Fixed capital account refers to the capital account of the partner that do not change unless some ad...
Q: data were made available: lance, February 28, 2020 ected by the bank earned from the note above ck f...
A: Bank Reconcilation statement reconciles the bank balance of the bank with the books The adjusted cas...
Q: Davis Corporation reported the following for the month of November: Total hourly wages of plant w...
A: The question is based on the concept of Cost Accounting.
Q: For items 1-10, refer to the following: The owner of Dawn Winery decided to lend kegs of wine amount...
A: Amount to be paid can be calculated as: = Principal * (1 + Periodic Interest rate) ^ Number of conve...
Q: K. Canopy, the proprietor of Canopy Services, withdrew $6,200 from the business during the current y...
A: In a partnership firm, partners introduce capital, executes the business, generates profits & wi...
Q: Christina Company (a U.S.-based company) has a subsidiary in Canada that began operations at the sta...
A: The following rate shall be applicable for translation: For balance sheet items = Closing rate For ...
Q: Answer this please and also how does the salary for the 12thmonth in number 3 is 96000. Explain also...
A: The partnership comes into existence when two or more persons agree to do the business and further s...
Q: Aracel Engineering completed the following transactions in the month of June. Using the following tr...
A: Journal entries shows the recording of the transactions during an accounting year and every transact...
Q: The Clarke Chemical Company produces a special kind of body oil that is widely used by professional ...
A: Since you have posted a question with multiple sub-parts, we will solve first three sub parts for yo...
Q: how do I journalize the entry to record the cash receipts and cash sales on March 1st? Refer to th...
A: Dear student, since you asked only for cash receipt and cash sales transaction, The journal entry i...
Q: At what nominal interest rate will money double in 8 years if interest is compounded quarterly? What...
A: Solution Given Rate of interest compounded quarterly =? Number of yea...
Q: Good Call is a delivery business that provides its services in cash and on credit. It has a large fl...
A: The income statement is one of the important financial statements of the business, which tells about...
Q: Current assets that fluctuate with the firm’s operations are called Permanent Current Assets true o...
A: Current assets are those type of assets which are either in cash or can be coverted into cash into c...
Q: Help erpreting some of the accounting transactions that took place during the month of January 2022....
A: Transaction on 2/1/2022 Thocc has performed service of $5000, and received cash $3000 and balance to...
Q: Examples of factory overhead costs are
A: It is essential to define various types of costs so that the proper cost sheet can be made
Q: P6-2. LMVL Co., a publicly listed company, reported earnings for the year amounting to Php25 Million...
A: P:E Ratio = Market value per share / Earnings per share where, Earnings per share = (Net income - Pr...
Q: Following are the transaction of TR Inc., which provides consulting services related to mining of pr...
A: A cash flow statement is a type of financial statement that summarizes the amounts of cash and cash ...
Q: A change in accounting estimate is accounted for by Prospective application Retrospective applicat...
A: A change in accounting estimate refers to an adjustment made to an asset or liability on the books o...
Q: Required: a. Compute XYZ's cost of goods sold for book purposes and for tax purposes for second year...
A: FIFO method is the method of the inventory in which it is deemed for the purpose of the cost of the ...
Q: Information for Duncan Corporation is shown below: 20X1 Net Income ₱ 400,000 Average Inv...
A: Return on investment (ROI) = Net Income / Average Investment where, Average Investment = (Beginning...
Q: Consider the unadjusted trial balance of Riverdale Company at June 30, 2016, and the related month-e...
A: Note : Since you have posted a question with multiples sub-parts , we will do the first three sub-pa...
Q: ABC has a major supplier that offers a credit term of 2/15, n/45. Cash not yet used for payments are...
A: creditors are considered to be important part of the effective cash management system .It is impor...
Q: estate amounting to 125,000,000. This includes
A: Tax refers to the percentile deduction imposed by the government over the income earned by an entity...
Q: Equivalent Units of Production Materials Conversion Units transferred to the next department Ending ...
A: The question is based on the Cost Accounting. As per the Bartleby guidelines we are allowed to answe...
Q: Norman Company produced 1,000 units of a product which was sold at a price of P95.00 each. Total sel...
A: Conversion costs are costs related with direct labour and manufacturing overhead of the business. Co...
Q: CHAPTER 6: JOI NT ARRANGEMENTS 16. Berlin and Rio are participants in a joint arrangement for the pu...
A: Berlin Rio Joint arrangement account 155000 175000 Expenses p...
Q: 8,088 4 Accounts Payable 6,960 Accounts Receivable 13,445 Cash 4,800 Equipment Insurance Expense 7 1...
A: The question is based on the concept of Financial Accounting.
Q: Question 5 of 5 Sunland Frame Camera Shop uses the lower-of-cost-or-net realizable value b December...
A: The price of the goods still available for purchase and held by a company at the end of an accountin...
Q: How much is the net profit of the joint arrangement? D253 500
A: Net profit is the profit which a company earns after all the expenses and cost of goods sold has bee...
Q: Accrual accounting requires estimates of future outcomes. For example, the reserve for bad debts is ...
A: Financial Statements These are a company's financial activities and position in a nutshell. The data...
Q: Problem 11 The accounts of DMCI Holdings, Inc. revealed the following facts on August 31,2019. 1,200...
A: Bank Balance as per Statement 12,00,000 We need to find the cash balance as on 31 august
Q: 3. An invoice, dated May 8, for $549.38 has terms of 3/15, 2/20, 1/30, n/45. If you make a payment o...
A: Average due date is the date on which if payment is made then interest paid and received will be nul...
Q: Prepare a journal entry for each transaction. If an amount box does not require an entry, leave it b...
A: Job cost sheet is the journey of raw material purchase to sales
Q: three segments: Metro, Suburban, and Outlying. Data for these segments for the year just ended as fo...
A: 1. Variable expense are all related to the segment and incurred during production and generation of ...
Q: eital gains ta ubmitted, t
A: Income tax penalties must be paid 1% of the due amount for the period of 3 month
Q: The Sanding Department of Quik Furniture Company has the following production and manufacturing cost...
A: In this question, we have to make a production cost report For making it we need to first make as w...
Q: Return on Total Assets A company reports the following income statement and balance sheet informati...
A: Introduction:- The return on assets (ROA) measures how lucrative a company's assets are at generatin...
Q: Hearts Company has various cash generating units. One cash generating unit has the following carryin...
A: As given , we need to determine amount of impairment loss . Value in use as determined by management...
Q: The City of Evansville operated a summer camp program for at-risk youth. Businesses and nonprofit or...
A: A journal entry is a form of accounting entry that is used to report a business transaction in a com...
Q: 1 The list below shows select accounts for Reading Readiness Company as of January 31, 20X1. 2 (Acco...
A: Income Statement of the business shows all incomes and expenses of the business and also calculates ...
Q: On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,580 in...
A: The balance sheet is an essential part of the financial statement. It indicates total balance of ass...
Q: Jan. 11: Purchased leather materials for bags on account for $76,000 Accounts payable $ 76,000 Raw M...
A: Manufacturing Overhead (Over/Under-applied)=Actual Manufacturing Overhead-Applied Manufacturing Over...
Richardson Custom Homes enters into a contract to build a house for a the Beckham family. Richardson Custom Homes is responsible for the overall management of the project and identifies various goods and services that will be completed including construction of the home, plumbing and electrical services, painting, and carpentry.
How many performance obligations are in this contract? Explain your answer.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Ismail Construction enters into a contract to design and build a hospital. Ismail is responsible for the overall management of the project and identifies various goods and services to be provided, including engineering, site clearance, foundation, procurement, construction of the structure, piping and wiring, installation of equipment, and finishing. Does Ismail have a single performance obligation to the customer in this revenue arrangement? Explain.Ellicott Construction enters into a contract to design and build a hospital. Ellicott is responsible for the overall management of the project and identifies various goods and services to be provided, including engineering, site clearance, foundation, procurement, construction of the structure, piping and wiring, installation of equipment, and finishing. Under IFRS, does Ellicott have a single performance obligation to the customer in this revenue arrangement? Ellicott select an option (accounts / does not accounts) for the bundle of goods and services as a single performance obligation because the goods or services in the bundle are select an option (highly interrelated / not related ) .Penny is compiling a list of costs incurred so far on a project. She must categorize these costs so that she can present the amount of direct cost incurred. Which of the following should Penny include in this list?This type of question contains radio buttons and checkboxes for selection of options. Use Tab for navigation and Enter or space to select the option. option A Expense incurred in meeting the regulatory standards for the company option B Benefits for employees in the organization option C Travel expenses to the customer’s office option D Costs incurred for maintaining coffee stations around the office.
- 1. Windsor Windows manufactures and sells custom storm windows for enclosed porches. Windsor also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be provided by other vendors. Windsor enters into the following contract on June 1, 2024, with a local homeowner. The customer purchases windows for a price of $4,700 and chooses Windsor to do the installation. Windsor charges the same price for the windows irrespective of whether it does the installation or not. The price of the installation service is estimated to have a fair value of $1,200. The customer pays Windsor $4,000 (which equals the fair value of the windows, which have a cost of $2,300) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on August 1, 2024, Windsor completes installation on September 15, 2024, and the customer pays the balance due. Prepare the journal entries for Windsor in 2024.…ABC manufactures and sells custom windows for enclosed porches. ABC also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be provided by other vendors. ABC enters into the following contract on June 1, 2022, with a local homeowner. The customer purchases windows for a price of P6,650 and chooses ABC to do installation. ABC charges the same price for the windows irrespective of whether it does the installation or not. The price of the installation service is estimated to have a fair value of P1,710. The customer pays ABC P5,700 (which equals the fair value of the windows, which have a cost of P3,230) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on August 1, 2022, ABC completes installation on September 15, 2022 and the customer pays the balance due. Compute for the revenue to be recognize on September 15, 2022.Smith Manufacturing Company allows employees to purchase materials, such as metal and limber, for personal use at a price equal to the company's cost. To purchase materials, an employee must complete a materials requisition form, which must then be approved by the employee's immediate supervisor. Brian, an assistant cost accountant, then charges the employee an amount based on Smith's net purchase cost. Brian is in the process of replacing a deck on his home and has requisitioned lumbar for personal use, which has been approved in accordance with company policy. In computing the cost of the lumber, Brian reviewed all the purchase invoices for the past year. He then used the lowest price to compute the amount due to the company for the lumber. The Institute of Management Accountants (IMA) is the professional organization for managerial accountants. The IMA has established four principles of ethical conduct for its members: Honesty Fairness Objectivity Responsibility These…
- Able Company enters into a contract with a customer to provide them with an accounts receivable program. Able will also provide installation services as part of the contract. Able will make sure that this program will be installed so that it will be customized and be able to integrate with the company's other program modules. What is the number of performance obligations for this contract?Green Doors manufactures and sells custom folding doors for enclosed porches. Green also providesinstallation service for the doors. The installation process does not involve changes in the doors, so thisservice can be provided by other vendors.Green enters into the following contract on May 1, 2023, with a local homeowner. The customer purchases adoor for a price of $7,500 and chooses Green to do the installation. The price of the installation service is$1,000. The customer agrees to pay Green $5,000 upon delivery of the door and the remaining balance uponinstallation of the doors. The door is delivered on July 1, 2023. Green completes installation on August 15,2023, and the customer pays the balance due.d) Prepare the journal entries for July 1 and August 15Avett Manufacturing Company allows employees to purchase materials, such as metal and lumber, for personal use at a price equal to the company's cost. To purchase materials, an employee must complete a materials requisition form, which must then be approved by the employee's immediate supervisor. Brian Dadian, an assistant cost accountant, then charges the employee an amount based on Avett's net purchase cost. Brian is in the process of replacing a deck on his home and has requisitioned lumber for personal use, which has been approved in accordance with company policy. In computing the cost of the lumber, Brian reviewed all the purchase invoices for the past year. He then used the lowest price to compute the amount due the company for the lumber. The Institute of Management Accountants (IMA) is the professional organization for managerial accountants. The IMA has established four principles of ethical conduct for its members: honesty, fairness, objectivity, and responsibility. These…
- Avett Manufacturing Company allows employees to purchase materials, such as metal and lumber, for personal use at a price equal to the company's cost. To purchase materials, an employee must complete a materials requisition form, which must then be approved by the employee's immediate supervisor. Brian Dadian, an assistant cost accountant, then charges the employee an amount based on Avett's net purchase cost. Brian is in the process of replacing a deck on his home and has requisitioned lumber for personal use, which has been approved in accordance with company policy. In computing the cost of the lumber, Brian reviewed all the purchase invoices for the past year. He then used the lowest price to compute the amount due the company for the lumber. The Institute of Management Accountants (IMA) is the professional organization for managerial accountants. The IMA has established four principles of ethical conduct for its members: honesty, fairness, objectivity, and responsibility. These…Avett Manufacturing Company allows employees to purchase materials, such as metal and lumber, for personal use at a price equal to the company’s cost. To purchase materials, an employee must complete a materials requisition form, which must then be approved by the employee’s immediate supervisor. Brian Dadian, an assistant cost accountant, then charges the employee an amount based on Avett’s net purchase cost.Brian is in the process of replacing a deck on his home and has requisitioned lumber for personal use, which has been approved in accordance with company policy. In computing the cost of the lumber, Brian reviewed all the purchase invoices for the past year. He then used the lowest price to compute the amount due the company for the lumber.The Institute of Management Accountants (IMA) is the professional organization for managerial accountants. The IMA has established four principles of ethical conduct for its members: honesty, fairness, objectivity, and responsibility. These…Pharoah Windows manufactures and sells custom storm windows for enclosed porches. Pharoah also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be provided by other vendors. Pharoah enters into the following contract on June 1, 2021, with a local homeowner. The customer purchases windows for a price of $4,740 and chooses Pharoah to do the installation. Pharoah charges the same price for the windows irrespective of whether it does the installation or not. The price of the installation service is estimated to have a fair value of $1,860. The customer pays Pharoah $4,340 (which equals the fair value of the windows, which have a cost of $2,500) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on August 1, 2021, Pharoah completes installation on September 15, 2021, and the customer pays the balance due. (Round amounts to nearest dollar.) Prepare the journal…