Reference no: EM132463383
Really Nice Company Pte Ltd (RNC), a non-GST registered company, manufactures and markets computer hardware, middleware and software, and provides hosting and consulting services in areas of mainframe computer. On 1 September 2017, RNC entered into a 36-month InfoSphere Information Server (IIS) contract with a Singapore-based internet search provider. RNC's financial year ends on 31 December. The terms of the contract are as follows: Monthly server consulting and maintenance fixed fee: $5,500 (to be billed monthly) A complimentary IIS computer at the inception of the plan. RNC sells the same IIS computer separately for $12,000 and the same monthly plan without the IIS computer for $6,000.
Question i) Identify the 5 steps that are applied to recognise revenue in accordance with FRS 115 (SFRS(I) 15 Revenue from Contracts with Customers.
Question ii) Suppose steps one and two of the 5-step model are met in recognizing revenue in accordance with the core principle stated in FRS 115 (SFRS(I) 15).
- What is the transaction price for the 1 September 2017 contract?
Question iii) What is a performance obligation? Under what conditions does a performance obligation exist?
Question iv) Under FRS 115 (SFRS(I) 15), determine the allocation of the transaction price to the performance obligation(s) identified in the 1 September 2017 contract. Be specific with regard to amount (if any).
Question v) Under FRS 115 (SFRS(I) 15), when and how much should RNC recognise revenue for the 1 September 2017 contract? Show all the necessary journal entries.
|
Determine what is the tax liability
: A single taxpayer, not head of household, with AGI of $36,504 and one dependent. Using the 2018 tax chart. what is the tax liability?
|
|
Discuss how the edwards rule is related to given situation
: A suspect is apprehended in a department store by the security guard. The suspect is placed in handcuffs and taken to the manager's office.
|
|
Determine the dollar value of cash provided by operating
: Prepares their Statement of Cash Flows using the indirect method. Use this information to determine the dollar value of cash provided
|
|
Explain how each ethical obligation is overcome
: Explain how each ethical obligation is overcome and/or mitigated by psychologists by providing specific examples of policies, programs, laws, or regulations.
|
|
What is a performance obligation
: What is a performance obligation? Under what conditions does a performance obligation exist?What is the transaction price for the 1 September 2017 contract?
|
|
What is net cash received over life of the bond investment
: What is the net cash received over the life of the bond investment? (all money received minus all money paid, round to nearest whole dollar)
|
|
Describe how a criminal personality is developed
: Describe, in your opinion, how a criminal personality is developed. No sources are required for this section. Assume class division in society causes crime.
|
|
Analyse the reasons for the changes in audit fees
: Analyse the reasons for the changes in audit opinions, audit fees and auditor over the years for TPC PLUS HOLDINGS company
|
|
What controlled substance appears to now pose
: What controlled substance appears to now pose the most significant threat to the U.S. and why? Are these newly emerging drug threats or have they continued.
|