(Revenue Recognition—Point of Sale) Presented below are three revenue recognition situations. (a)…

(Revenue Recognition—Point of Sale) Presented below are three revenue recognition situations. (a)…

(Revenue Recognition—Point of Sale) Presented below are three revenue recognition situations.

(a) Grupo sells goods to MTN for $1,000,000, payment due at delivery.

(b) Grupo sells goods on account to Grifols for $800,000, payment due in 30 days.

(c) Grupo sells goods to Magnus for $500,000, payment due in two installments: the first installment payable in 6 months and the second payment due 3 months later. Instructions Indicate how each of these transactions is reported.

 

(Revenue Recognition—Point of Sale) Presented below are three revenue recognition situations. (a)…