1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
bixtya [17]
3 years ago
11

On June 1, 2021, Emmet Property Management entered into a 2-year contract to oversee leasing and maintenance for an apartment bu

ilding. The contract starts on July 1, 2021. Under the terms of the contract, Emmet will be paid a fixed fee of $60,000 per year and will receive an additional 10% of the fixed fee at the end of each year provided that building occupancy exceeds 80%. Emmet estimates a 25% chance it will exceed the occupancy threshold, and concludes the revenue recognition over time is appropriate for this contract. Assume that Emmet accrues revenue each month, and estimates variable consideration as the most likely amount. On November 1, Emmet revises its estimate of the chance the building will exceed the 80% occupancy threshold to a 60% chance. What is the total amount of revenue Emmet should recognize on this contract in November of 2021
Business
1 answer:
vlada-n [284]3 years ago
6 0

Answer:

$7,500

Explanation:

Calculation to determine the total amount of revenue Emmet should recognize on this contract in November of 2021

First step is to calculate the revenue amount recognized for July, August, September, and October

Recognized revenue =$60,000 × 4/12

Recognized revenue = $20,000

(July, August, September, and October=4 months )

Second step is to calculate the revenue amount to be recognized at the beginning of November

Recognized revenue= $60,000 + ($60,000 × 10%)

Recognized revenue= $66,000

Third step is to calculate the revenue amount recognized at the end of November

Recognized revenue=$66,000 × 5/12

Recognized revenue = $27,500

Now let calculate the total amount of revenue Emmet should recognize on this contract in November of 2021

Total Recognized revenue=$27,500 - $20,000

Total Recognized revenue=$7,500

Therefore the total amount of revenue Emmet should recognize on this contract in November of 2021 will be $7,500

You might be interested in
Total output of an economy can be divided into its alternative uses by considering who bought the output. when other countries p
bija089 [108]

Total output of an economy can be divided into its alternative uses by considering who bought the output. when other countries purchase part of an economy's output, this is called Gross Domestic Product [GDP],

<h3>Gross Domestic Product</h3>

The total monetary or market worth of all the finished goods and services produced within a nation's boundaries during a certain time period is known as the gross domestic product (GDP). It serves as a thorough assessment of the state of the economy in a particular nation because it is a wide indicator of total domestic production.

Although it is often calculated on a yearly basis, GDP can also be computed on a quarterly basis. For instance, the US government estimates the annualized GDP for the entire year as well as each fiscal quarter.

To know more about 'GDP', visit :brainly.com/question/1383956

#SPJ4

6 0
2 years ago
A firm achieves differentiation parity ideally when
Alina [70]
A firm achieves differentiation parity ideally when it sells its products or services at a higher price than its competitors.  

The idea of parity is that a company sells its products at a higher cost than competitors even though the product or service isn't unique. Differentiation is when one companies products compete and are better than another with the same product. 
3 0
3 years ago
________ leaders inspire followers to transcend their self-interests for the good of the organization and can have an extraordin
dsp73

The answer to this question is Transformational leaders.

<span>Transformational leaders are leaders who inspire their subordinates / followers by being a role model in order for the members or followers to enhance their performance. Transformational leaders increase the morale of the members by creating a vision for them to be guided and inspire the members to do their best and be motivated always.</span>

8 0
3 years ago
Which type of private label brand carries no evidence of a retailer s affiliation, is manufactured by a third party, and is sold
Drupady [299]

Answer:

A. A captive brand

Explanation:

-A captive brand is when a brand is produced by another party and owned by the retailer but there is no evidence of this and it is only sold by it.

-A complementary brand is when a brand is marketed together with another one to encourage the purchase of both.

-A cooperative brand is when a brand shares a promotion with another one.

-An exclusive brand is a brand that is produced by the retailer and it is sold using its name.

-A generic brand is when a product doesn't have a brand name and it has a lower price than the ones from well-known brands.

According to this, the answer is that the type of private label brand that carries no evidence of a retailer s affiliation, is manufactured by a third party, and is sold exclusively at the retailer is a captive brand.

8 0
3 years ago
When using straight line amortization on premium bonds:_______.
Vsevolod [243]

Answer: the same interest income is reported each year

Explanation:

The straight-line amortization method is a simple way to amortize a bond as an equal amount of interest are allocated over every accounting period.

When using straight line amortization on premium bonds, the same interest income is reported each year. Therefore, option A is the best answer.

5 0
3 years ago
Other questions:
  • Pablo has a $180,200 basis in his partnership interest. On May 9 of the current tax year, the partnership distributes to him, in
    9·1 answer
  • Which sentence or phrase in the passage suggests an action of integrity? On Monday, Mr. Blackwell, the creative head of an adver
    8·2 answers
  • At the beginning of the year, Mitchum Enterprises allows for estimated uncollectible accounts of $14,000. By the end ofthe year,
    13·1 answer
  • What role do individuals play in a capitalist system?
    13·2 answers
  • After determining that someone has had too much to drink, there are eight steps you should take to cut someone off. What is the
    13·1 answer
  • Sunlight Design Corporation sells glass vases at a wholesale price of $4.50 per unit. The variable cost to manufacture is $1.75
    13·1 answer
  • Which of the following account records would have the most current
    13·1 answer
  • SRC Refrigeration Company manufactures and sells refrigerator display units for flowers. A salesperson for the company is callin
    12·1 answer
  • Evaluate the benefits and limitations of the change to the operations process being planned by the managing director.
    10·1 answer
  • Which policy tools are considered automatic stabilizers?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!