E$3\mathrm{.}19($LO $4)($Allocate Transaction Price$)$ Shaw Company sells goods that cost $$300,000$ to Ricard Company for $$410,000$ on January $2,2025.$ The sales price includes an installation fee, which has a standalone selling price of $$40,000.$ The standalone selling price of the goods is $$370,000.$ The installation is considered a separate performance obligation and is expected to take $6$ months to complete $($installation was completed on June $18,2025).$

Instructions

a$.$ How much revenue does Shaw record on January $2,2025?$

b$.$ How much income should Shaw report related to its sale to Ricard in its income statement prepared for the quarter ended March $31,2025?$