Assignment
1: On January 1, 2019, LeMoyne Construction Company signs a contract to build an office building for Franklin Corporation for $10 million. Franklin remits $1 million to LeMoyne upon signing the contract, $5 million when the foundation and all outside components are complete, and $4 million upon full completion. Franklin must pay LeMoyne an additional $100,000 if all construction is completed by July 31, 2020.
Required:
Apply the 5-step revenue recognition model to determine when revenue should be recognized by LeMoyne.
• Intro- Description of the company, industry, and market in the case to understand why the issues occurred. Description of natures of the issues in the case.-team member 1
• Summarize and identify each step to the specific case
1. Identify the contract(s)team member 2
2. Identify the separate performance obligationsteam member 3
3. Determine the transaction priceteam member 4
4. Allocate the transaction price to the separate performance obligationsteam member 5
5. Recognize revenue when the entity satisfies a performance obligationteam member 6
2 Additional Questions- team member 7.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.