yuh 2.5 points eBook Hint Ask Print References E3-2 (Algo) Identifying Revenues LO3-2, 3-3 Revenues are normally recognized when the company transfers promised goods or services in the amount the company expects to be entitled to receive. Assume that the following transactions occurred in September: a. A popular ski magazine company receives a total of $12,145 today from subscribers. The subscriptions begin in the next fiscal year. Answer from the magazine company's standpoint. b. On September 1 of the current year, a bank lends $2,800 to a company; the note principal and $336 ($2,800 x 12 percent) annual interest are due in one year. Answer from the bank's standpoint. c. Fucillo Automotive Group (offering a wide variety of car and truck brands) sells a Ford F-150 truck with a list, or "sticker," price of $21,350 for $19,950 cash. d. Macy's department store orders 1,110 men's shirts for $17 each for future delivery from PVH Corporation, manufacturer of IZOD, ARROW, Van Heusen, Calvin Klein, and Tommy Hilfiger and other brand-name apparel. The terms require payment in full within 30 days of delivery. Answer from PVH Corporation's standpoint. e. PVH Corporation completes production of the shirts described in (d) and delivers the order. Answer from PVH's standpoint. f. PVH Corporation receives payment from Macy's for the events described in (a) and (e). Answer from PVH's standpoint. g. A customer purchases a ticket from American Airlines for $700 cash to travel the following January. Answer from American Airlines's standpoint. h. Ford Motor Company issues $20.6 million in new common stock. i. Michigan State University receives $19,170,000 cash for 79,000 seven-game season football tickets to be played in the upcoming season. j. Michigan State plays the first football game referred to in (). k. Precision Builders signs a contract with a customer for the construction of a new $1,540,000 warehouse. At the signing, Precision receives a check for $206.990 as a deposit on the future construction. Answer from Precision's standpoint.

E3-2 (Algo) Identifying Revenues LO3-2, 3-3 Revenues are normally recognized when the company transfors promised goods or services in the amount the company expocts to be entited to receive. Assume that the following transactions occurred in September: o. A popular ski magazine company receives a totol of $12,145 today from subscribers. The subscriptions begin in the next fiscal year. Answer from the magazine companys standpoint. b. On September 1 of the current year, a bank iends $2,800 to a company, the note principol and $336 ( $2,80012 percent) annual interest ate due in one year. Answer from the bank's standpoint. c. Fuctilo Automotive Group (otforing o wide variety of car and truck brands) selis a Ford F-150 truck with a list, of "sticker," price of $21,350 for $19,950 cash. d. Macy's department store orders 1110 men's shirts for $17 each for future delivery from PVH Corporation, manufacturer of 120D, ARROW, Van Heusen, Calvin Klein, and Tommy Hilfiger and other brand-name apparel. The terms require payment in full within 30 days of delivery. Answer from PVH Corporation's standpoint. e. PVH Corporation completes production of the shirts doscribed in ( ) and delivers the order. Answer from PVH's standpoint. t. PVH Corporation recelves payment from Macy's for the events described in (d) and (e). Answer from PVIr's standpoint. 9. A customer purchases a ticket from American Airlines for $700 cash to travel the following January. Answet from American Airlines's standpoint. h. Ford Motor Company issues $20.6 million in new common stock. 1. Michigan Stote University roceives $19,170,000 cash for 79,000 seven-game season football tickets to be played in the upcoming season. I. Michigan State plays the first football game referred to in (Q. k. Precision Builders signs a contract with a customer for the construction of a new $1,540,000 warehouse. At the signing. Precision Match each of the options above to the items below