Lewis Co. sold merchandise to AdCo for $60,000 and received $60,000 for that sale one month later.
Question:
Lewis Co. sold merchandise to AdCo for $60,000 and received $60,000 for that sale one month later. One week prior to receiving payment from AdCo, Lewis made a $10,000 payment to AdCo for advertising services that have a fair value of $7,500. After accounting for any necessary adjustments, how much revenue should Lewis Co. record for the merchandise sold to AdCo?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 60% (10 reviews)
If a seller is purchasing distinct goods or services from a customer at the fair value of those good...View the full answer
Answered By
Rohith Bellamkonda
I am studying in IIT Indore,the most prestigious institute of India.I love solving maths and enjoy coding
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Lewis Co. sold merchandise to AdCo for $60,000 and received 560,000 for that sale one month later. One week prior to receiving payment from AdCo, Lewis made a 510,000 payment to AdCo for advertising...
-
Skye's land, buildings & equipment have a fair value of $1,000 million. Skye's other assets and liabilities are reported at amounts that approximate fair value. Skye has unreported identifiable...
-
7. Journalize the following transactions: a. Sold merchandise on account to Troy Co., invoice no. 10, $50. The cost of the merchandise was $28. b. Received check from Brown Co., $300, less 3%...
-
An investment project provides cash inflows of $710 per year for 9 years. Required: What is the project payback period if the initial cost is 3,550?
-
In the past, national governments greatly affected the pace of globalization through agreements to lower barriers to international trade and investment. Is the pace of change now outpacing the...
-
Explain the difference in status between a superior and a subordinate.
-
Which of the following is useful in making a final selection when multiple criteria exist? a. Four discounted cash flow rules b. Seven-step systematic analysis technique c. Ten principles of...
-
S & X Co. is a retail store owned solely by Paul Turner. During the month of November, the equity accounts were affected by the following events: Nov. 9 Turner invested an additional $15,000 in the...
-
The "medical loss ratio" legislated in the ACA is: A. An insurer's requirement that enough of the premiums collected are put into reserves to cover 2/3 of actuarial projected claims volume B. An...
-
The balance sheet items of The Soda Shop (arranged in alphabetical order) were as follows at the close of business on September 30, 2015. The transactions occurring during the first week of October...
-
In 2024, Long Construction Corporation began construction work under a three-year contract. The contract price is $1,600,000. Long recognizes revenue over time according to percentage of completion...
-
On June 15, 2024, Sanderson Construction entered into a long-term construction contract to build a baseball stadium in Washington, D.C., for $220 million. The expected completion date is April 1,...
-
Air is compressed steadily by a compressor from 14.7 psia and 60F to 100 psia and 480F at a rate of 22 lbm/min. Assuming the surroundings to be at 60F, determine the minimum power input to the...
-
Selling a simple product to a global market The Pasta Shoppe, located in Nashville, Tennessee, manufactures and distributes pasta. John Aron and his wife Carey, cofounders of The Pasta Shoppe, first...
-
Jeana wants to visit Seattle. El Paso, Austin, Indianapolis, Jacksonville, Detroit, San Antonio, Chicago, Boston, and Phoenix. If she decides to visit some, all, or none of these cities, how many...
-
Assume you have a 6% 30-year mortgage for $100,000 with now 10 years to maturity (annual payments with exactly one year to the next payment). You are considering a refinance of the loan at 4% with a...
-
Two similar 6,600-V, 3-, generators are running in parallel on constant-voltage and frequency busbars. Each has an equivalent resistance and reactance of 0.05 and 0.5 respectively and supplies one...
-
3.A.) Y ABC ABC = i.) (3 POINTS) Simplify the Boolean equation using Boolean theorems by specifying which theorem(s) you have used. Please show your work. ii.) (3 POINTS) Check the simplification for...
-
The following polynucleotide was synthesized and used as a template for peptide synthesis in a cell-free system from E. coli ... AUAUAUAUAUAUAU ... What polypeptide would you expect to be produced?...
-
Why is homeostasis defined as the "relative constancy of the internal environments? Does negative feedback or positive feedback tend to promote homeostasis?
-
Mary McQuire is trying to decide how to invest her money. A friend recommended that she buy the stock of one of two corporations and suggested that she should compare the financial statements of the...
-
Mary McQuire is trying to decide how to invest her money. A friend recommended that she buy the stock of one of two corporations and suggested that she should compare the financial statements of the...
-
Phase A of the joint FASB and IASB conceptual framework project includes a discussion of the constraint cost effectiveness. Assume that the FASB is considering revising an important accounting...
-
I have collected real data on the sale of a microwavable cup of soup across 20 different cities for the same time period (a month). The variables in the dataset are: Quantity sold in the city for...
-
1. Cut out the boxes below on the dotted lines. Be careful not to lose any of the slips! 2. Organize the boxes based on what business you think the productive resource would be used in. Your choices...
-
On Abbot Kinney blvd, there are two coffee shops near each other. Blue bottle and intelligentsia. Blue bottle used to sell 1k cups of coffee per week. When intelligentsia lowered its prices by...
Study smarter with the SolutionInn App