Meyer & Smith is a full-service technology company. They provide equipment, and installation services as well as training. Customers can purchase any product or service separately or as a bundled package. Container Corporation purchased computer, equipment, installation and training for a total cost of P120,000 on March 15, 20x5. Estimated standalone fair values of the equipment, installation, and training are P75,000, P50,000, and P25,000 respectively. The journal entry to record the transaction on March 15, 20x4 will include a P120,000 for the entire bundle. Explain why
Meyer & Smith is a full-service technology company. They provide equipment, and installation services as well as training. Customers can purchase any product or service separately or as a bundled package. Container Corporation purchased computer, equipment, installation and training for a total cost of P120,000 on March 15, 20x5. Estimated standalone fair values of the equipment, installation, and training are P75,000, P50,000, and P25,000 respectively. The journal entry to record the transaction on March 15, 20x4 will include a P120,000 for the entire bundle. Explain why
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter8: Property Transactions: Capital Gains And Losses, Section 1231 And Recapture Provisions
Section: Chapter Questions
Problem 22P
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Meyer & Smith is a full-service technology company. They provide equipment, and installation services as well as training. Customers can purchase any product or service separately or as a bundled package. Container Corporation purchased computer, equipment, installation and training for a total cost of P120,000 on March 15, 20x5. Estimated standalone fair values of the equipment, installation, and training are P75,000, P50,000, and P25,000 respectively. The
the transaction on March 15, 20x4 will include a P120,000 for the entire bundle.
Explain why
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