Question: Entity A enters into a contract with Entity B to supply three products. Product X, Y and Z, to a customer for a price of

Entity A enters into a contract with Entity B to supply three products. Product X, Y and Z, to a customer for a price of $890,580. The products are delivered at different points in time. The promise to supply each of these products is identified as a separate performance obligation. The stand-alone selling prices of products X, Y and Z are $200,000, $450,000 and $350,000 respectively.

REQUIRED:

Measure the contract price which should be allocated to each separate performance obligation

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