7 of 19 (0 complete) This Test: 75 pts possible This Question: 15 pts Kimmel ent

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7 of 19 (0 complete) This Test: 75 pts possible This Question: 15 pts Kimmel enters into a contract with a customer to sell three products for a total transaction price of $14,800. Each product is appropriately classified as a separate performance obligation. Kimmel only sells bricks and stones on an individual basis so it must estimate the standalone selling price for cement. Information related to these three products is provided in the following table. Ea (click the icon to view the information.) How should Kimmel allocate the transaction price to the three products using the adjusted market assessment approach? Calculate the allocated transaction price for the three products using the adjusted market assessment approach. (Round the percentage to Allocated Market Competitor Prices ntage of Total Data Table Price Product Bricks Stones Cement Standalone Competitor Forecasted Product Selling Price PricesCost Bricks 6.,500 $ 4,400 $5,700 Stones S 8.300 $ 7.040 $4,700 Cement Not available $ 10,560 $ 1,700 Total Print Done Enter any number in the edit fields and then continue to the next question. 4

Explanation / Answer

Market Competitor Prices Percentage of Total Allocated Transaction Price Bricks $ 4,400 20 % $ 2,960 Stone 7,040 32 % 4,736 Cement 10,560 48 % 7,104 Total $ 22,000 $ 14,800

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