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1. Green Lawncare performed lawn maintenance services for one of its clients on June 1st, and received payment of $500 for those services. II. On June 1st, Blue Corp received payment for 100 cases of wine, and the customer asked Blue not to ship the wine until June 20 so that the customer could ready space to store the wine. III. Magenta, LLC collected cash on June 1st for services rendered on May 1st. Given these scenarios, revenue cannot be recognized on June 1st for: Multiple Choice O I, ll only O I only O II, III only Merchandise sold FOB shipping point indicates that: Multiple Choice 11 The sale is not consummated until the merchandise reaches the point to which it is being shipped. The seller pays the freight. The common carrier holds the title until the merchandise is delivered. The buyer holds title after the merchandise leaves the seller's location. On June 1, 2021, Royal Property Management entered into a one-year contract to oversee leasing and maintenance for an apartment building. The contract starts on July 1, 2021. Under the terms of the contract, Royal will be paid a fixed fee of $67,000 and will receive an additional 20% of the fixed fee at the end of the contract provided that building occupancy exceeds 85%. Royal estimates a 20% chance it will exceed the occupancy threshold, and concludes the revenue recognition over time is appropriate for this contract. Assume that Royal accrues revenue each month, and estimates variable consideration as the most likely amount. On November 1, Royal revises its estimate of the chance the building will exceed the 85% occupancy threshold to a 65% chance. What is the total amount of revenue Royal should recognize on this contract in November of 2021? Multiple Choice $11,167 $2,143 O $2,768

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