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Category > Business & Finance Posted 11 Dec 2017 My Price 10.00

What amount of revenue should Amar recognize

Amar Farms produced 300,000 pounds of cotton during the 2010 season. Amar sells all of its cotton to Brye Co., which has agreed to purchase Amar’s entire production at the prevailing market price. Recent legislation assures that the market price will not fall below $.70 per pound during the next two years. Amar’s costs of selling and distributing the cottonare immaterial and can be reasonably estimated. Amar reports its inventory at expected exit value. During 2010, Amar sold and delivered to Brye 200,000 pounds at the market price of $.70. Amar sold the remaining 100,000 pounds during 2011 at the market price of $.72. What amount of revenue should Amar recognize in 2010?

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CourseLover
(12)
Status NEW Posted 11 Dec 2017 06:12 AM My Price 10.00

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