8 On 1 January 20X8, an entity enters into a contract to transferProducts A and B to a customer in exchange for P1,000. Thecontract requires Product A to be delivered first and statesthat payment for the delivery of Product A is conditional onthe delivery of Product B. The stand-alone selling prices ofProducts A and B are P480 and P720, respectively. Product Ais delivered on January 3, 20X8 while Product B is deliveredon March 31, 20X8. The customer pays on April 8, 20X8.Requirement: Provide the journal entries.9. Use the facts in the immediately preceding problem. Inaddition, the contract also includes a promise to transferProduct D. Total consideration in the contract is P130. Thestand-alone selling price for Product D is highly variablebecause the entity sells Product D to different customers for abroad range of amounts (P15 - P45).Requirement: Allocate the transaction price to the performanceobligations in the contract.

As per the Honor code of Bartleby we are bound to given the answer of first question only, Please…

On entity enters into a contract to transfer Products A and B to a customer in exchange for P1,000. The contract requires Product A to be delivered first and states that payment for the delivery of Product A is conditional on the delivery of Product B. The stand-alone selling prices of Products A and B are P480 and P720, respectively. Product A is delivered on January 3, 20X8 while Product B is delivered on March 31, 20X8. The customer pays on April 8, 20X8.

On entity enters into a contract to transfer Products A and B to a customer in exchange for P1,000. The contract requires Product A to be delivered first and states that payment for the delivery of Product A is conditional on the delivery of Product B. The stand-alone selling prices of Products A and B are P480 and P720, respectively. Product A is delivered on January 3, 20X8 while Product B is delivered on March 31, 20X8. The customer pays on April 8, 20X8.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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