Ayayai sells three grain/hay dryers to a local farmer at a total contract price of $44,000....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Ayayai sells three grain/hay dryers to a local farmer at a total contract price of $44,000. In addition to the dryers, Ayayai provides installation, which has a standalone selling price of $1,100 per unit installed. The contract payment also includes a $1,200 maintenance plan for the dryers for 3 years after installation. Ayayai signs the contract on June 20, 2017, and receives a 20% down payment from the farmer. The dryers are delivered and installed on October 1, 2017, and full payment is made to Ayayai. Prepare the journal entries for Ayayai in 2017 related to this arrangement. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Jun. 20, 2017 Cash Accounts Receivable Unearned Sales Revenue Unearned Service Revenue - Maintenance Unearned Service Revenue - Installation Oct. 1, 2017 Cash 47300 Accounts Receivable (To record payment received) Unearned Sales Revenue Unearned Service Revenue - Installation Sales Revenue Ayayai sells three grain/hay dryers to a local farmer at a total contract price of $44,000. In addition to the dryers, Ayayai provides installation, which has a standalone selling price of $1,100 per unit installed. The contract payment also includes a $1,200 maintenance plan for the dryers for 3 years after installation. Ayayai signs the contract on June 20, 2017, and receives a 20% down payment from the farmer. The dryers are delivered and installed on October 1, 2017, and full payment is made to Ayayai. Prepare the journal entries for Ayayai in 2017 related to this arrangement. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Jun. 20, 2017 Cash Accounts Receivable Unearned Sales Revenue Unearned Service Revenue - Maintenance Unearned Service Revenue - Installation Oct. 1, 2017 Cash 47300 Accounts Receivable (To record payment received) Unearned Sales Revenue Unearned Service Revenue - Installation Sales Revenue
Expert Answer:
Answer rating: 100% (QA)
Date Accounts Title and Explanation Debit Credit June 20 2017 Ca... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
For solving Ax = b, consider the stationary Richardson iteration Xk+1=Xk+a (b Ax). For this question, we assume that all eigenvalues of A are real. (a) Find the iteration matrix. (b) Show that if...
-
Information necessary to prepare the year-end adjusting entries appears below. Depreciation on the office equipment for the year is $10,000. Employee salaries are paid twice a month, on the 22nd for...
-
You are appointed as a sustainability manager of Devils Corner Wines in the East Coast Region of Tasmania in June 2022. Devils Corner is nestled among the rolling patchwork fields of the beautiful...
-
Name the following compounds.
-
(a) Based on the following reaction profile, how many intermediates are formed in the reaction A D? (b) How many transition states are there? (c) Which step is the fastest? (d) Is the reaction...
-
Carpenter Company uses standard costing. The company has a manufacturing plant in Georgia. Standard labor-hours per unit are 0.50, and the variable overhead rate for the Georgia plant is $3.50 per...
-
Describe what is meant by parent holding company model.
-
Barreras Outdoor Outfitters sells many items that sporting enthusiasts find useful. The company sells shoes, pants, shirts, jackets, fly-fishing equipment, hiking equipment, hunting equipment, and...
-
Find the slope of the tangent line to the curve y-si at the point (-4.-320). I Question 24 (1.6 points) Find an equation of the tangent line to curve y--x at the point (2, 4). Question 25 (1.6...
-
Lido Company's standard and actual costs per unit for the most recent period, during which 400 units were actually produced, are given below: Standard Actual Materials: Standard: 2 foot at $1.50 per...
-
Anne Marie is the owner of Anne's Beauty Salon, Inc. Her accountant prepares a monthly financial statement for her business. She doesn't like to ask him questions about it. She would rather ask you...
-
Trust Accounting In the assessment example we have seen several occasions where Landlords have made payments (receipts) towards maintenance and repair costs for their properties, to pay for all or...
-
One of The Tax Museum's chief rivals, Fiscal Fossils, has two shareholders, Sarah and Jerry, each of whom own 50 percent of the outstanding stock. Fiscal Fossils has the following assets and faces a...
-
Global scale maps provide evidence of globalization's effect on migration by illustrating the movement of people from less developed regions to more developed ones, driven by the globalized economy's...
-
Daily hire rate adjustment factor for dry bulk capesizes based on age of vessel Over 24 years 20 to 24 years 15 to 19 years 10 to 14 years 5 to 9 years Under 5 years 0.65 0.75 0.80 1.00 1.05 1.15...
-
Describe three types of heredity-environment correlations, and give an example of each .
-
(b) (Puzzle question) Justify that is a very small number. dx 4
-
Do public and private companies follow the same set of accounting rules? Explain.
-
In what sense is economics like a science? Draw a production possibilities frontier for a society that produces food and clothing. Show an efficient point, an inefficient point, and an infeasible...
-
Why would removing a trade restriction, such as a tariff, lead to more rapid economic growth?
-
Suppose that people expect inflation to equal 3 percent, but in fact, prices rise by 5 percent. Describe how this unexpectedly high inflation rate would help or hurt the following: a. The government...
-
When translating Acceletrons fi nancial statements into US dollars, Redline is least likely to use an exchange rate of USD per SGD: A . 0.671. B . 0.588. C . 0.654.
-
Based on Exhibit 1, what is the foreign exchange gain resulting from Transaction 3 on the December 31, 2016 fi nancial statements? A . NVK1.70 per ton B . NVK90.75 per ton C . NVK248.54 per ton
-
Which transaction would generate foreign currency transaction exposure for Ambleu? A . Transaction 1 B . Transaction 2 C . Transaction 3
Study smarter with the SolutionInn App