A consulting contract sold for $9,000, which covers 6 month of service. With 40% chance receiving...
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A consulting contract sold for $9,000, which covers 6 month of service. With 40% chance receiving $1200 bonus Q1: What is the transaction price using expected value and most likely amt? Q2:Under most likely method, if probability of getting the bonus increases to 60% by the end of third month, how much revenue is recognized in the third month? A consulting contract sold for $9,000, which covers 6 month of service. With 40% chance receiving $1200 bonus Q1: What is the transaction price using expected value and most likely amt? Q2:Under most likely method, if probability of getting the bonus increases to 60% by the end of third month, how much revenue is recognized in the third month?
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Answer rating: 100% (QA)
1 Bonus to be Expected 40100 x 1200 480 In light of expected value the overall transac... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0132162302
1st edition
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella
Posted Date:
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