Business, 21.03.2020 10:07 shelbyp2003
Meyer & Smith is a full-service technology company. They provide equipment, 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 $180,000 on March 15, 2018. Estimated standalone fair values of the equipment, installation, and training are $90,000, $60,000, and $30,000 respectively.
The transaction price allocated to equipment, installation and training is :
a. $144,000 for the entire bundle.
b. $72,000, $48,000 and $24,000 respectively.
C. $48,000, $48,000, $48,000 respectively.
d. $90,000, $60,000, $30,000 respectively.
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