General IT Calibri 111 A A Conditional Formatting Format as Table Cell Styles 3D ste BIU $ % 58.8 a A > Font N pboard Number Alignment Styles 2. A B D E F G H u K L M Actual Kiava Corp enters into a contract with a customer to build an apartment building for $1,340,000 The customer hopes to rent apartments at the beginning of the school year and provides a performance bonus of $ 201,000 to be paid if the building is ready for rental beginning August 1, 2019. The bonus is reduced by $ 67,000 each week that completion of work is delayed. Klava commonly includes these completion bonuses in its contracts and, based on prior experience, estimates the following completion outcomes Completed by Probability 3 1-Aug-19 7095 S 8-Aug-19 20 10 15-Aug-19 5 11 After 15-Aug-19 5 12 Instructions 13 1. Determine the transaction price for this contract, based on the information provided above 14 2. Assuming that Klava is only able to estimate whether the building can be completed by August 1, 2019, or not, (Klava estimates that there is a 70% chance 15 that the building will be completed by August 1, 2019), compute the transaction price. 16 17