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Essay Details:
Essay text:
Equipment
b. Installation
c. Maintenance & Support
2. If the arrangement consists of more than one unit of accounting, how should the arrangement fee be allocated between the separate units of accounting? Assume Manini early adopted the provisions of EITF Issue No. 00-21, Revenue Arrangements With Multiple Deliverables. How much revenue, if any, should be recognized in the fiscal year ended February 28, 2003 and 2004, respectively?
• In 2003, revenue recognized = $50,000 + $150,000 + $300,000 for equipment.
• In 2004, revenue recognized = $500,000 for installation services.
In 2004, revenue recognized = $50,000 for maintenance and support services...
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