Glatt Inc. sells large-scale pressure vessels for the chemical industry. On 12/28/2022, a chemical plant ordered...

  

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Glatt Inc. sells large-scale pressure vessels for the chemical industry. On 12/28/2022, a chemical plant ordered a new pressure vessel for $10,000,000. Glatt will build that vessel in 2023 and the first half of 2024. The vessel will be delivered to the customer in August 2024. Glatt expects to incur $5,000,000 of manufacturing cost in 2023 and $3,000,000 in 2024. The customer will make a first payment of $2,000,000 in July 2023 and will pay the remaining amount upon delivery in 2024. Glatt's fiscal year equals the calendar year. 1 2 2 points Assume that the Performance Obligation is satisfied over time and Glatt uses cost-to-cost to allocate revenue. How much revenue from the described transaction would Glatt recognize in 2023? Type your answer... 2 points D Assume that the Performance Obligation is satisfied at a point in time, i.e., at delivery. How much revenue from the described transaction would Glatt recognize in 2023? Type your answer..... 3 2 points Assume that the Performance Obligation is satisfied at a point in time, i.e., at delivery. How much revenue from the described transaction would Glatt recognize in 2024? Type your answer.... Glatt Inc. sells large-scale pressure vessels for the chemical industry. On 12/28/2022, a chemical plant ordered a new pressure vessel for $10,000,000. Glatt will build that vessel in 2023 and the first half of 2024. The vessel will be delivered to the customer in August 2024. Glatt expects to incur $5,000,000 of manufacturing cost in 2023 and $3,000,000 in 2024. The customer will make a first payment of $2,000,000 in July 2023 and will pay the remaining amount upon delivery in 2024. Glatt's fiscal year equals the calendar year. 1 2 2 points Assume that the Performance Obligation is satisfied over time and Glatt uses cost-to-cost to allocate revenue. How much revenue from the described transaction would Glatt recognize in 2023? Type your answer... 2 points D Assume that the Performance Obligation is satisfied at a point in time, i.e., at delivery. How much revenue from the described transaction would Glatt recognize in 2023? Type your answer..... 3 2 points Assume that the Performance Obligation is satisfied at a point in time, i.e., at delivery. How much revenue from the described transaction would Glatt recognize in 2024? Type your answer....

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1 Assuming the performance obligation is satisfied over time and Glatt uses the costtocost method to ... View the full answer