Question: Your answer is correct. Sunland offers contract GM 2 0 5 , which is comprised of a free - standing gas grill for small patio

Your answer is correct.
Sunland offers contract GM205, which is comprised of a free-standing gas grill for small patio use plus installation to a customer's gas line for a total price $738. On a standalone basis, the grill sells for $656(cost $447), and Sunland estimates that the standalone selling price of the installation service (based on cost-plus estimation) is $136.(The selling of the grill and the installation services should be considered two performance obligations.) Sunland signed 10 GM205 contracts on April 20,2025, and customers paid the contract price in cash. The grills were delivered and installed on May 15,2025. Prepare journal entries for Sunland for GM205 in April and May 2025.(Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g.5,275. List all debit entries before credit entries. Record journal entries in the order presented in the problem. Do not round intermediate calculations.)
Date
Account Titles and Explanation
Debit
Credit
Cash
Unearned Sales Revenue
Unearned Service Revenue
Unearned Sales RevenueUnearned Service Revenue
Unearned Sales Revenue
(To record sales)
(To record cost of goods sold)
eTextbook and Media
List of Accounts
Attempts: 1 of 3 used(b)
Your answer is correct.
The State of Kentucky is planning major renovations in its parks during 2025 and enters into a contract with Sunland to purchas 390 durable, easy maintenance, standard charcoal grills during 2025. The grills are priced at $200 each (with a cost of $152 each and Sunland provides a 5% volume discount if Kentucky purchases at least 280 grills during 2025. On April 17,2025, Sunland delivered and received payment for 260 grills. Based on prior experience with the State of Kentucky renovation projects, the delivery of this many grills makes it certain that Kentucky will meet the discount threshold. Prepare the journal entries for Sunland for grills sold on April 17,2025. Assume the company records sales transaction net. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)
\table[[Date,Account Titles and Explanation,Debit,Credit,],[April 17,2025,Cash,Sales Revenue,,],[,(To record sales),,,],[April 17,2025,Cost of Goods Sold,,,],[,(To record cost of goods sold),,,]](C)
Sunland sells its specialty combination gas/wood-fired grills to local restaurants. Each grill is sold for $1,000(cost $523) on credit with terms 230, net/90. Prepare the journal entries for the sale of 20 grills on September 1,2025, and upon payment, assuming the customer paid on (1) September 25,2025, and (2) October 15,2025. Assume the company records sales net. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)
Account Titles and Explanation
Debit
Credit
Sales Revenue
(To record sales)
Cost of Goods Sold
(To record cost of goods sold)
Accounts Receivable
(To record sales)
(To record cost of goods sold)
Sales Discounts Forfeited
eTextbook and Media
List of Accounts
Your answer is correct. Sunland offers contract

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!