QUESTION 9 Entity A is a manufacturer of consumer goods. On 1 January 2023, Entity A...

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QUESTION 9 Entity A is a manufacturer of consumer goods. On 1 January 2023, Entity A entered into a one-year contract to sell goods to a large global chain of retail stores, Entity B. Entity B committed to buying at least $3,400,000 of products in January. The contract required Entity A to make a non-refundable payment of $28,680 to the customer at the inception of the contract. The non-refundable payment is to compensate the customer for the changes required to its shelving to accommodate Entity A's products. Entity A duly paid this non-refundable payment to the customer on 5 January 2023. Entity A transferred goods with an invoice price of $3,556,000 to the customer on 31 January 2023. The customer agreed to settle the outstanding amount by two payments, i.e. 25% and 75% of the outstanding amount on 15 February 2023 and 27 March 2023 respectively. REQUIRED: Provide journal entries for Entity A from 1 January 2023 to 31 March 2023 under relevant accounting standards. ACCOUNT FOR INPUT: | Bank | Payable | Receivable | Interest expense | Interest revenue | Inventory | PPE | | Asset for product to be returned | Commission expense | Commission revenue | Revenue | | Cost of sales | Contract asset | Contract liability | Retained earnings | No entry | ANSWERS: Journal Entries: Date 1-Jan-23 5-Jan-23 31-Jan-23 15-Feb-23 27-Mar-23 Account Name Debit ($) Credit ($) Hints For Sequence Judge Dr/Cr. Asset. QUESTION 9 Entity A is a manufacturer of consumer goods. On 1 January 2023, Entity A entered into a one-year contract to sell goods to a large global chain of retail stores, Entity B. Entity B committed to buying at least $3,400,000 of products in January. The contract required Entity A to make a non-refundable payment of $28,680 to the customer at the inception of the contract. The non-refundable payment is to compensate the customer for the changes required to its shelving to accommodate Entity A's products. Entity A duly paid this non-refundable payment to the customer on 5 January 2023. Entity A transferred goods with an invoice price of $3,556,000 to the customer on 31 January 2023. The customer agreed to settle the outstanding amount by two payments, i.e. 25% and 75% of the outstanding amount on 15 February 2023 and 27 March 2023 respectively. REQUIRED: Provide journal entries for Entity A from 1 January 2023 to 31 March 2023 under relevant accounting standards. ACCOUNT FOR INPUT: | Bank | Payable | Receivable | Interest expense | Interest revenue | Inventory | PPE | | Asset for product to be returned | Commission expense | Commission revenue | Revenue | | Cost of sales | Contract asset | Contract liability | Retained earnings | No entry | ANSWERS: Journal Entries: Date 1-Jan-23 5-Jan-23 31-Jan-23 15-Feb-23 27-Mar-23 Account Name Debit ($) Credit ($) Hints For Sequence Judge Dr/Cr. Asset.

Answer rating: 100% (QA)

Based on the information provided and adhering to general accounting principles here are the required journal entries for the events described On 1Jan... View the full answer