Berry Farm produces organic tomatoes and strawberries. In June 2016, it transported 115 boxes of strawberries with a price of $17 per box to the Bay Farmers’ Market. Berry Farm paid an upfront fee of $130 to present its products at the market for one week, and the market earns a 30% profit margin on each item sold, but Berry Farm is responsible for any items that remain unsold at the end of the week.

The market was able to sell 70 boxes of strawberries to customers. How much revenue should Berry Farm recognize with respect to this transaction?

Answer rating: 100% (QA)

Revenue Recognition As specified in accounting standards reven... View the full answer