answer quickly Accounting for Consideration PayableFurniture Manufacturer Inc. sells 1,000 chairs to a retailer for $400,000 (with a cost of $240,000) in June 2020. Additionally, Furniture Manufacturer Inc. agrees to pay $4,000 toward an advertising promotion campaign that theretailer will provide. The retailer will provide the advertising electronically and through local print media. The cost for the advertising campaign was negotiated as part of the revenue contract.a. Prepare the entry for June 2020 to record Furniture Manufacturer Inc's sales revenue and cost of sales, assuming cash collected is net of the advertising fee.b. Prepare the entry in June 2020 to record Furniture Manufacturer Inc.'s sales revenue and cost of sales now assuming that $500,000 cash is collected this month. The advertising fee will be paid next month to the customer.Note: If a journal entry (or a line of a journal entry) isn't required for the transaction, select "N/A"as the account name and leave the Dr. and Cr. answers blank (zero).a.Account NameDr.Cr.Sales Revenue0 xTo record the sale of product.0 xTo record the cost of sales.b.Account NameDr.Cr.Sales Revenue0 xTo record the sale of product.To record the cost of sales.

solution : requirement a) cash collected net of sales Account name Debit Credit Cash…

miture Manufacturer inc. sells 1,000 chairs to a retailer for $400,000 (with a cost of $240,000) in June 2020. Additionally, Furniture M tailer will provide. The retailer will provide the advertising electronically and through local print media. The cost for the advertising c Prepare the entry for June 2020 to record Furniture Manufacturer Inc's sales revenue and cost of sales, assuming cash collected i r Prepare the entry in June 2020 to record Furniture Manufacturer Inc.'s sales revenue and cost of sales now assuming that $500,000 ote: If a journal entry (or a line of a journal entry) isn't required for the transaction, select "N/A'as the account name and leave the D Account Name Dr. Cr. Sales Revenue record the sale of product. record the cost cf sales. Account Name Dr. Cr.

miture Manufacturer inc. sells 1,000 chairs to a retailer for $400,000 (with a cost of $240,000) in June 2020. Additionally, Furniture M tailer will provide. The retailer will provide the advertising electronically and through local print media. The cost for the advertising c Prepare the entry for June 2020 to record Furniture Manufacturer Inc's sales revenue and cost of sales, assuming cash collected i r Prepare the entry in June 2020 to record Furniture Manufacturer Inc.'s sales revenue and cost of sales now assuming that $500,000 ote: If a journal entry (or a line of a journal entry) isn't required for the transaction, select "N/A'as the account name and leave the D Account Name Dr. Cr. Sales Revenue record the sale of product. record the cost cf sales. Account Name Dr. Cr.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter17: Advanced Issues In Revenue Recognition

Section: Chapter Questions

Problem 19E: Rix Company sells home appliances and provides installation and service for its customers. On April...

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