Kitchen Aid Case Study Paper

Kitchen Aid Case Study Paper

Prepare a memo addressed to KA’s CFO discussing how KA should recognize revenue related to the above sale. Discuss each of the 5 steps of revenue recognition. Specifically, is there a valid contract? How many performance obligations are there? How does KA determine the transaction price? If necessary, how do we allocate the transaction price? Lastly, when and how much does the seller recognize revenue for one or multiple performance obligations? Please including an appendix with all necessary journal entries for KA (seller) in the month of January. Provide calculations to support your work if necessary.

Do not exceed a maximum of 3.5 pages (double-space 12 sized font) Please include references to the FASB Codification, such as “According to ASC 606-10-25-20…”.

To obtain access to FASB Codification, please use the following link to login.

http://www2.aaahq.org/ascLogin.cfm