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densk [106]
3 years ago
5

On October 1, 2018, Bullseye Company sold 250,000 gallons of diesel fuel to Schmidt Co. at $3 per gallon. On November 8, 2018, 1

50,000 gallons were delivered; on December 27, 2018. another 50,000 gallons were delivered; and on January 15, 2019, the remaining 50,000 gallons were delivered. Payment terms are 10% due on October 1, 2018, 50% due on first delivery; 20% due on the next delivery; and the remaining 20% due on final delivery. Required: Do the three deliveries each represent a distinct performance obligation, or is there a single performance obligation requiring three deliveries
1. Do each of the three deliveries represent a distinct performance obligation, or is there a single performance obligation requiring three deliveries?2. What amount of revenue should bullseye recognize from this sale during 2018?
Business
1 answer:
drek231 [11]3 years ago
7 0

Answer:

1) We must follow the revenue recognition principle in order to determine whether these transactions represent one single performance obligation or three separate ones. If revenue can be recognized after each delivery has been made, then each transaction will be considered a separate performance obligation.

Personally, I believe that on November 8, 2018, $450,000 in revenue must be recognized since title of the goods passed from Bullseye to Schmidt. That means that the earning process had been realized. The same for the other transactions, so I would consider them 3 separate performance obligations.

2) total revenue for 2018:

November 8 = $450,000

December 27: $150,000

total = $600,000

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Match the accounting terminology to the definitions (Click the icon to view the definitions.)
Volgvan

Answer:

a. Accounting.

b. Certified public accountants.

c. Creditor.

d. Managerial accounting.

e. Certified management accountants.

f. Financial accounting.

Explanation:

1. <u>Accounting</u>: information system that measures business activities, processes that information into reports, and communicates the results to decision makers.

2. <u>Certified public accountants</u>: professional accountants who serve the general public.

3. <u>Creditor</u>: person or business to whom a business owes money.

4. <u>Managerial accounting</u>: field of accounting that focuses on providing information for internal decision makers.

5. <u>Certified management accountants</u>: professionals who work for a single company.

6. <u>Financial accounting</u>: field of accounting that focuses on providing information for external decision makers.

7 0
3 years ago
The purchase of treasury stock usually restricts the amount of retained earnings available for cash dividends.a. Trueb. False
DerKrebs [107]

The statement, "The purchase of treasury stock usually restricts the amount of retained earnings available for cash dividends." is true .

Option a

<u>Explanation: </u>

The stock in the bank is the term for originally sold securities that the issuing firm has retained. If a corporation sells some of its released and outstanding securities, the sale drastically alters its retained profits.  

As the balance sheet show all remaining earnings and the equity fund, sums available to pay dividends drop. The price of the stock in treasury should be reduced by the retained revenues, which reduce the amounts that the business can dividend to shareholders.

Sometimes a business needs the share-earnings ratio to be improved. If a company bought out many of its own shares, it reduces the number of released and outstanding activities raises the earnings per stake in the company and makes the assets more appealing for buyers.

6 0
3 years ago
List four disadvantages of bankruptcy
nexus9112 [7]

Answer:

Impaired credit (report and score) and loss of credit.

Court costs and attorneys' fees and costs.

Loss of property and nonessential possessions.

Ripple effect.

Explanation:

5 0
3 years ago
Read 2 more answers
Why do basketball players switch teams?<br> Why do they have to sign a paper when they do that?
Anika [276]

It varies from player to player, some do it for better pay and some do it because they don't like the team their with. They have to sign papers because there transferring their services to another franchise, and are agreeing to new terms of contracts. Things that are disclosed in the contracts are things such as payment and how many years they will be bonded by the contract.

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3 years ago
Pumps, inc., agrees to assume a debt of quality parts company to reliable finance lp. the agreement is not in writing. to be enf
bezimeni [28]

Pumps, Inc., agrees to assume a debt of Quality Parts Company to Reliable Finance LP. The agreement is not in writing. To be enforceable, the promise must be for the benefit of ​Pumps.

What is debt?

A sum of money due to another by another person, business, etc. Borrowing money to pay for a good, service, or financial asset results in debt (e.g. INSTALMENT CREDIT). Debt contracts include interest charges for the period of the loan and call for the eventual repayment of the amount borrowed.

What happens if a contract is not in writing?

The agreement might not be upheld in court if it does not adhere to the rules for contract writing. The court will frequently rule that a contract does not exist. This implies that no conflicts can be settled in court. If there is a dispute, the parties might be unable to resolve it through the legal system.

Learn more about debt: brainly.com/question/19052808

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