PROBLEMS: **Round all amounts to the nearest dollar and show work so you can get partial credit. Problem 1: On Feb 1st, Costco sold a large wooden chair for $10,000 to Oven Brick Pizza to be displayed during St Patty's Day. The item was purchased under 2/10, n/30 terms and is fob destination. The item was picked up on Feb 4* and delivered on Feb 16%, and the delivery bill was $225. The item cost Costco $8,400 to make. Upon receipt of the item, Oven Brick noticed that there was a dent in the side of the chair, so it requested a $900 credit, which Costco granted. On Feb 28, the seller received a check for the balance due. a. Prepare all necessary journal entries for Costco using Net Method (should be five JEs). (2 points each) b. Ifusing gross method, prepare the 2/28 journal entry for Costco (3 points). c. Under each of the 5 Revenue Recognition steps below answer the following (5 points total): Revenue Step What date to Describe the JE, if How is the step record this needed performed 1. Identify the contract with customers: 2. Identify the separate performance obligations in the contract: 3. Determine the transaction price: 4, Allocate the transaction price to the separate performance obligation(s): 5. Recognize revenue when each performance obligation is satisfied