Problem
Shaw Company sells goods that cost $321,000 to Ricard Company for $438,700 on January 2, 2014. The sales price includes an installation fee, which is valued at $42,800. The fair value of the goods is $395,900. The installation is considered a separate performance obligation and is expected to take 6 months to complete.
Prepare the journal entry to record the sale on January 2, 2014.