Signs contract with customer

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Reference no: EM133208278

On 1^stJuly 20x3. Company A signs a contract with a customer under which Company A delivers an equipment on that date and then provides support services for the next three years. The contract price is £840,000. The cost of the support services is estimated at $60,000 pa and Company A normally makes a pro?t margin of 25% on such werk alone. The SASP of the goods will be £720,000. The SASP of services will be £240,000. The customer has paid the full cash of £840,000 on 1^st"July 20X3. FYE 31/12/20x3. How much revenue for the year ended 31 December 20x3.

Reference no: EM133208278

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