Business, 17.12.2019 05:31, tchocho8621

On january 1 revis consulting entered into a contract to complete a cost reduction program for green financial over a six-month period. revis will receive $24,800 from green at the end of each month. if total cost savings reach a specific target, revis will receive an additional $12,400 from green at the end of the contract, but if total cost savings fall short, revis will refund $12,400 to green. revis estimates an 80% chance that cost savings will reach the target and calculates the contract price based on the expected value of future payments to be received.

required:

prepare the following journal entries for revis:
1. to 3.
prepare the journal entry on january 31 to record the collection of cash and recognition of the first month’s revenue,

assuming total cost savings exceed target, record the entry on june 30 for receipt of the bonus and

assuming total cost savings fall short of target and record the entry on june 30 for payment of the penalty.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 17:10, IsabelAyshi

Show the changes to the t-accounts for the federal reserve and for commercial banks when the federal reserve buys $50 million in u. s. treasury bills. if the public holds a fixed amount of currency (so that all loans create an equal amount of deposits in the banking system), the minimum reserve ratio is 10%, and banks hold no excess reserves, by how much will deposits in the commercial banks change? by how much will the money supply change? show the final changes to the t-account for commercial banks when the money supply changes by this amount.

Answers: 3

continue

Business, 22.06.2019 04:50, danny123421

Harwood company uses a job-order costing system that applies overhead cost to jobs on the basis of machine-hours. the company's predetermined overhead rate of $2.50 per machine-hour was based on a cost formula that estimates $240,000 of total manufacturing overhead for an estimated activity level of 96,000 machine-hours. required: 1. assume that during the year the company works only 91,000 machine-hours and incurs the following costs in the manufacturing overhead and work in process accounts: compute the amount of overhead cost that would be applied to work in process for the year and make the entry in your t-accounts. 2a. compute the amount of underapplied or overapplied overhead for the year and show the balance in your manufacturing overhead t-account. 2b. prepare a journal entry to close the company's underapplied or overapplied overhead to cost of goods sold.

Answers: 1

continue

Business, 22.06.2019 14:20, nataliaalejandradasi

Jaynet spends $50,000 per year on painting supplies and storage space. she recently received two job offers from a famous marketing firm – one offer was for $95,000 per year, and the other was for $120,000. however, she turned both jobs down to continue a painting career. if jaynet sells 35 paintings per year at a price of $6,000 each: a. what are her accounting profits? b. what are her economic profits?

Answers: 1

continue

Business, 22.06.2019 17:00, martinez6221

Vincent is interested in increasing his earning potential upon completing his internship at a major accounting firm. which option can immediately boost his career in the intended direction? b. complete a certification from a professional organization c. complete a new four-year undergraduate program in a related field d. complete a two-year associate degree in a related field e. complete an online course in accounting

Answers: 3

continue

Do you know the correct answer?

On january 1 revis consulting entered into a contract to complete a cost reduction program for green...