Ch 7: connect Flashcards
1
Q
What is the first step to follow for revenue recognition?
A
Identify the contract
2
Q
2nd step of 5 step revenue recognition process
A
-performance obligations
3
Q
3rd step
A
transaction price
4
Q
Step four
A
allocate the transaction price to the performance obligations.
5
Q
Issued 200 million additional shares of $0.01 par value stock for $41 (that’s $41 million).
A
cash- D 41
CS- C 2
APC- C 39
6
Q
Used $7,700 in spare parts, supplies, and fuel for the aircraft and equipment during the year.
A
D-parts expense
C-parts
7
Q
A
