Jeter Company Ordered 400 Toy Wagons from Lamar, Inc

question 55

Multiple Choice

Jeter Company ordered 400 toy wagons from Lamar, Inc. on May 1, 2018. Jeter Company paid for them on May 20 at a cost of $3 each. Jeter sold 50 of them on June 2, 2018, for $4 each to Gilloz Company. Gilloz Company paid Jeter on June 10.
How much revenue should Jeter Company recognize at the preferred point of revenue recognition?

• A)$240
• B)$100
• C)$1,000
• D)$200

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Definitions:

Just Noticeable Difference

The minimal change in a stimulus that can just barely be detected by an organism.

Detection Paradigm

The detection paradigm is a method in psychological research focusing on the ability of subjects to detect a stimulus under different conditions to study perception and cognition.

Perceptual Set

An expectation of what will be perceived, which can affect what actually is perceived.

Absolute Threshold

The minimum intensity of a stimulus that is required to be detected at least 50% of the time by a subject.