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The te pe paid

The te pe paid

FINANCIAL ACCOUNTING
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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Topic: REVENUE FROM CONTRACTS WITH CUSTOMERS

 

Requirement: Compute for the transaction price. Assume that the quoted price of the shares remained constant at P20 all throughout the year.

accordance with PFRS 15. This is because the entity is providing a series of distinct services that are substantially the same and have the same pattern of transfer (the services transfer to the customer over time and use the same method to measure progress-that is, a time-based measure of progress). In exchange for the service, the customer promises 100 shares of its common stock per week of service. The terms in the contract require that the shares must be paid upon the successful completion of each week of service. The entity measures its progress towards complete satisfaction of the performance obligation as each week of service is complete. Requirement: Compute for the transaction price. Assume that the quoted price of the shares remained constant at P20 all throughout the year.
Transcribed Image Text:accordance with PFRS 15. This is because the entity is providing a series of distinct services that are substantially the same and have the same pattern of transfer (the services transfer to the customer over time and use the same method to measure progress-that is, a time-based measure of progress). In exchange for the service, the customer promises 100 shares of its common stock per week of service. The terms in the contract require that the shares must be paid upon the successful completion of each week of service. The entity measures its progress towards complete satisfaction of the performance obligation as each week of service is complete. Requirement: Compute for the transaction price. Assume that the quoted price of the shares remained constant at P20 all throughout the year.
8. An entity enters into a contract with a customer to provide a weekly service for one year. The contract is signed on 1 January 20X1 and work begins immediately. The entity concludes that the service is a single performance obligation in
Transcribed Image Text:8. An entity enters into a contract with a customer to provide a weekly service for one year. The contract is signed on 1 January 20X1 and work begins immediately. The entity concludes that the service is a single performance obligation in
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