Business, 06.04.2020 16:29 alaina3792
Windsor Windows manufactures and sells custom storm windows for enclosed porches. Windsor also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be provided by other vendors. Windsor enters into the following contraction June 1, 2021, with a local homeowner. The customer purchases windows for a price of $4,700 and chooses Windsor to do the installation. Windsor charges the same price for the windows irrespective of whether it does the installation or not. The price of the installation service is estimated to have a fair value of $1,200. The customer pays Windsor $4,000 (which equals the fair value of the windows, which have a cost of $2,300) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on August 1, 2021, Windsor completes installation on September 15, 2021, and the customer pays the balance due.
Required:
Prepare the journal entries for Windsor in 2018. (Round amounts to the nearest dollar.)
Answers: 3
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Windsor Windows manufactures and sells custom storm windows for enclosed porches. Windsor also provi...
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