schema_version: 2 cases: sable-ridge-2026: id: SCEN:acc300/reading-2-1/sable-ridge-2026 entity: Sable Ridge Instruments period: Year ended December 31, 2026 unit: USD role: worked-reading tax_rate: "0.25" revenue: Instrument sales: 4200000 Consumables: 1850000 Installation and calibration: 950000 cost_of_revenue: Instruments: 2520000 Consumables: 740000 Installation and calibration: 540000 operating_expenses: Selling and marketing: 980000 Research and development: 620000 General and administrative: 645000 Loss on uncollectible supplier advance: 95000 other_items: Gain on sale of the Dayton warehouse: 180000 Realized gain on sale of investments: 40000 Interest and dividend income: 60000 Interest expense: -140000 discontinued_after_tax: -150000 oci_after_tax: Available-for-sale debt-security holding gain: 60000 Reclassification adjustment: -30000 stipulated_amounts: unrealized_gain_pretax: 80000 reclassification_pretax: -40000 aoci_beginning: 45000 assumptions: - The veterinary-line disposal qualifies; Reading 2-2 teaches the qualification test. - The security classification and tax effects are supplied for presentation practice. - The supplier-advance loss belongs in the supplied operating-expense population. surfaces: - site/src/pages/book-preview/_section-2-1.md sable-ridge-2025: id: SCEN:acc300/reading-2-2/sable-ridge-2025 entity: Sable Ridge Instruments period: Year ended December 31, 2025 unit: USD role: comparative-reading comparative_of: SCEN:acc300/reading-2-1/sable-ridge-2026 tax_rate: "0.25" revenue: Instrument sales: 3900000 Consumables: 1650000 Installation and calibration: 850000 cost_of_revenue: Cost of revenue: 3520000 operating_expenses: Selling and marketing: 900000 Research and development: 580000 General and administrative: 700000 other_items: Interest and dividend income: 55000 Interest expense: -155000 discontinued_after_tax: 135000 oci_after_tax: Available-for-sale debt-security holding gain: 15000 stipulated_amounts: unrealized_gain_pretax: 20000 aoci_beginning: 30000 retained_earnings_beginning: 1950000 dividends: 135000 assumptions: - The comparative income statement is recast for the veterinary disposal. - The comparative balance sheet separately presents the veterinary line's assets and liabilities at their 2025 carrying amounts without applying the 2026 held-for-sale write-down. surfaces: - site/src/pages/book-preview/_section-2-1.md - site/src/pages/book-preview/_section-2-2.md northline-2026: id: SCEN:acc300/reading-2-1/northline-2026 entity: Northline Components period: Year ended December 31, 2026 unit: USD role: independent-practice revenue: Net sales: 9000000 cost_of_revenue: Cost of goods sold: 5400000 operating_expenses: Selling expenses: 1500000 Administrative expenses: 1100000 other_items: Gain on sale of unused land: 200000 Interest expense: -300000 discontinued_after_tax: 0 oci_after_tax: {} stipulated_amounts: income_tax_expense: 225000 assumptions: - The land sale is outside ordinary sales. - This exercise has no discontinued operation. surfaces: - site/src/pages/book-preview/_section-2-1.md northline-2025: id: SCEN:acc300/reading-2-1/northline-2025 entity: Northline Components period: Year ended December 31, 2025 unit: USD role: independent-practice comparative_of: SCEN:acc300/reading-2-1/northline-2026 revenue: Net sales: 8400000 cost_of_revenue: Cost of goods sold: 5040000 operating_expenses: Selling expenses: 1400000 Administrative expenses: 1100000 other_items: Interest expense: -260000 discontinued_after_tax: 0 oci_after_tax: {} stipulated_amounts: income_tax_expense: 150000 assumptions: - The 2025 amounts are a same-company comparison for the Reading 2-1 exercise. - There was no land-sale gain or discontinued operation in 2025. surfaces: - site/src/pages/book-preview/_section-2-1.md granite-harbor-2025: id: SCEN:acc300/meeting-06/granite-harbor-2025 entity: Granite Harbor Manufacturing period: Year ended December 31, 2025 unit: USD thousands role: classroom-worked tax_rate: "0.20" revenue: Net sales: 118000 cost_of_revenue: Cost of goods sold: 70000 operating_expenses: Selling expenses: 14000 Administrative expenses: 8000 other_items: Van gain: 2000 Flood loss: -2000 Interest expense: -1000 discontinued_after_tax: -3000 oci_after_tax: Supplied net holding gain: 1400 Reclassification adjustment: -400 stipulated_amounts: opening_aoci: 2000 assumptions: - The hardware-line discontinued result and security treatment are supplied for presentation practice. - In June 2025, a river flood reached the Ashford cabinet plant, which is outside a designated floodplain and had no recorded flooding in more than 50 years. - The flood damaged the continuing cabinet operation, not the disposed cabinet-hardware line. - Granite Harbor recognized the material 2,000 flood loss for inventory and equipment written off and cleanup costs incurred; no insurance recovery is included. - The event is unusual and infrequent for Granite Harbor. The loss remains gross in continuing operations, and company policy places casualty losses unrelated to making and selling cabinets in other expense. - This classroom manufacturer is distinct from other Granite Harbor cases in the corpus. surfaces: - slides/course/acc300/session-06/slides.tex - slides/course/acc300/session-07/slides.tex granite-harbor-2024: id: SCEN:acc300/meeting-06/granite-harbor-2024 entity: Granite Harbor Manufacturing period: Year ended December 31, 2024 unit: USD thousands role: classroom-comparative tax_rate: "0.20" revenue: Net sales: 100000 cost_of_revenue: Cost of goods sold: 60000 operating_expenses: Selling expenses: 12000 Administrative expenses: 8000 other_items: Land gain: 2000 Interest expense: -2000 discontinued_after_tax: 2000 oci_after_tax: {} stipulated_amounts: hardware_sales: 10000 hardware_cost_of_goods_sold: 6000 hardware_selling_and_administrative_expenses: 1500 hardware_pretax_income: 2500 hardware_income_tax_expense: 500 assumptions: - The listed revenue, cost of revenue, operating expenses, and other items describe the continuing cabinet operation. - The hardware line qualifies for discontinued-operation reporting; Session 7 explains the classification. - The 2024 hardware-line result is reclassified from continuing operations in the comparative statement without changing previously reported net income. surfaces: - slides/course/acc300/session-06/slides.tex disposals: sable-veterinary-2026: id: SCEN:acc300/reading-2-2/sable-veterinary-2026 entity: Sable Ridge Instruments period: Year ended December 31, 2026 unit: USD component: Veterinary instruments line facts: - Exit approved in August 2026; broker engaged September 30; sale expected in first quarter 2027. - The line has distinct products and records; sale exits the animal-health market. - The line supplied 18 percent of 2025 revenue; percentage alone does not decide classification. - The 800,000 dollar carrying amount and 480,000 dollar fair value less cost to sell apply to the long-lived assets subject to the comparison. - The 124,000 dollars of separately presented liabilities remain at carrying amount and are outside the supplied measurement comparison. classification: discontinued judgment_basis: The approved full market exit is the supplied strategic-shift judgment. tax_rate: "0.25" operating_pretax: 120000 disposal_pretax: -320000 carrying_amount: 800000 fair_value_less_cost_to_sell: 480000 held_for_sale_liabilities: 124000 surfaces: [site/src/pages/book-preview/_section-2-2.md] sable-veterinary-2025: id: SCEN:acc300/reading-2-2/sable-veterinary-2025 entity: Sable Ridge Instruments period: Year ended December 31, 2025 unit: USD component: Veterinary instruments line, comparative year facts: - The comparative income statement is recast for the 2026 disposal presentation. - The comparative 2025 balance sheet separately presents the component's assets and liabilities at their 2025 carrying amounts without applying the 2026 held-for-sale measurement. classification: discontinued judgment_basis: The comparative result follows the same qualifying component as 2026. tax_rate: "0.25" operating_pretax: 180000 surfaces: [site/src/pages/book-preview/_section-2-2.md] northline-plant: id: SCEN:acc300/reading-2-2/northline-plant entity: Northline Components period: Transfer exercise unit: USD component: Assembly plant facts: - One of four plants with its own workers and profit schedule; the same product remains. - The plant supplied 8 percent of sales. classification: continuing judgment_basis: Selling one plant does not exit the product or market. tax_rate: "0.25" disposal_pretax: -40000 surfaces: [site/src/pages/book-preview/_section-2-2.md] northline-aerospace: id: SCEN:acc300/reading-2-2/northline-aerospace entity: Northline Components period: Transfer exercise unit: USD component: Aerospace division facts: - A separate division and market, supplying 30 percent of sales, is fully exited. classification: discontinued judgment_basis: Exit from the separate aerospace market is the supplied strategic shift. tax_rate: "0.25" operating_pretax: -20000 disposal_pretax: 8000 surfaces: [site/src/pages/book-preview/_section-2-2.md] granite-hardware: id: SCEN:acc300/meeting-07/granite-hardware entity: Granite Harbor Manufacturing period: Year ended December 31, 2025 unit: USD thousands component: Hardware line facts: - The line exited October 31, 2025; sales were 29500 of 147500 total including hardware. - The 118000 sales in Meeting 6 are continuing sales only; 20 percent is context, not a cutoff. classification: discontinued judgment_basis: The classroom facts stipulate that exiting the hardware line is a strategic shift. tax_rate: "0.20" operating_pretax: -1250 disposal_pretax: -2500 surfaces: [slides/course/acc300/body/obj-two-two.tex] granite-calibration: id: SCEN:acc300/meeting-07/granite-calibration entity: Granite Harbor Manufacturing period: Year ended December 31, 2026 unit: USD thousands component: One calibration center facts: - Closed June 18, 2026; one of four centers; 5600 of 140000 sales, or 4 percent. - The same calibration service continues at the other centers. classification: continuing judgment_basis: Closing one center leaves the service business in place. tax_rate: "0.20" disposal_pretax: -1200 surfaces: [slides/course/acc300/body/obj-two-two.tex] granite-condemnation: id: SCEN:acc300/meeting-07/granite-condemnation entity: Granite Harbor Manufacturing period: Year ended December 31, 2026 unit: USD thousands component: Condemned property facts: [A March 31 condemnation produced a loss; the business continues.] classification: continuing judgment_basis: An unusual property loss alone is not a discontinued component. tax_rate: "0.20" disposal_pretax: -900 surfaces: [slides/course/acc300/body/obj-two-two.tex] alder-south-america: id: SCEN:acc300/meeting-07/alder-south-america entity: Alder period: Meeting 7 reserve exercise unit: USD thousands component: South American segment facts: [Distinct segment with 30 percent of consolidated revenue; company exits the region.] classification: discontinued judgment_basis: The distinct segment and regional exit support the supplied strategic shift. tax_rate: "0.25" operating_pretax: -400 disposal_pretax: 120 surfaces: [slides/course/acc300/body/obj-two-two.tex] meeting-seven-western: id: SCEN:acc300/meeting-07/meeting-seven-western entity: Meeting 7 sort company period: Meeting 7 four-item sort unit: USD thousands component: Western division facts: [The company exits a division supplying 15 percent of its sales.] classification: discontinued judgment_basis: The exercise supplies a qualifying division exit; sales share is context. tax_rate: "0.25" disposal_pretax: -600 surfaces: [slides/course/acc300/body/obj-two-two.tex] meeting-seven-service-center: id: SCEN:acc300/meeting-07/meeting-seven-service-center entity: Meeting 7 individual-check company period: Meeting 7 individual check unit: USD thousands component: One of five service centers facts: [One service center closes while the service business continues.] classification: continuing judgment_basis: Closing one center does not establish a strategic shift. tax_rate: "0.20" disposal_pretax: -800 surfaces: [slides/course/acc300/body/obj-two-two.tex] contracts: sable-fairmont: id: SCEN:acc300/reading-2-3/sable-fairmont entity: Sable Ridge Instruments counterparty: Fairmont Health period: Year ended December 31, 2026 unit: USD contract_facts: - Signed April 1, 2026 for an analyzer, installation, 1200 kit batches, and 36 months of calibration. - Fairmont used 780 tests on its prior analyzer; refund applies above 500 tests in year one. - Analyzer delivered May 15; installation completed December 20. - A separate research-affiliate agreement was independently priced and is not combined. judgment_basis: Four distinct obligations and the full expected refund are supplied teaching judgments. fixed_consideration: 360000 variable_terms: - description: First-year volume refund possible_amount: -12000 estimate: -12000 included_amount: -12000 constraint_basis: Prior usage supports the full refund estimate under the stated constraint. allocated_to: kits obligations: - {id: analyzer, promise: Analyzer, standalone_selling_price: 200000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: installation, promise: Installation and validation, standalone_selling_price: 40000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: kits, promise: 1200 kit batches, standalone_selling_price: 120000, transfer: over-time, progress_numerator: 300, progress_denominator: 1200} - {id: calibration, promise: 36 months of calibration, standalone_selling_price: 40000, transfer: over-time, progress_numerator: 9, progress_denominator: 36} billed: 264000 unconditional_receivable: 36000 surfaces: [site/src/pages/book-preview/_section-2-3.md] northline-controller-mold: id: SCEN:acc300/reading-2-3/northline-controller-mold entity: Northline Components counterparty: Transfer customer period: Reading 2-3 transfer exercise unit: USD contract_facts: - Enforceable controller and custom-mold contract; mold has no alternative use and a right to payment. - Controller delivered December 15; mold is 25 percent complete. judgment_basis: Most-likely approval bonus is included under the supplied constraint conclusion. fixed_consideration: 120000 variable_terms: - description: Mold approval bonus possible_amount: 10000 estimate: 10000 included_amount: 10000 constraint_basis: The stated evidence supports inclusion of the most-likely bonus. allocated_to: mold obligations: - {id: controller, promise: Standard controller, standalone_selling_price: 40000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: mold, promise: Custom mold, standalone_selling_price: 80000, transfer: over-time, progress_numerator: 1, progress_denominator: 4} billed: 55000 collected: 40000 unconditional_receivable: 15000 surfaces: [site/src/pages/book-preview/_section-2-3.md] linden-northwind: id: SCEN:acc300/meeting-08/linden-northwind entity: Linden Peak counterparty: Northwind period: Year ended December 31, 2026 unit: USD contract_facts: - Signed January 2, 2026 for device, installation, support, and a fourth-year support discount. - Seven promises are grouped as four obligations; the material right is not priced in the worked schedule. - A sales vice president email about waiving the first invoice is an open enforceability question, not an amendment. - Invoice labels of 110000 hardware and 10000 service do not determine allocation. judgment_basis: The classroom stipulates 6000 constrained bonus and three SSPs; the material right remains unvalued. fixed_consideration: 120000 variable_terms: - description: Binary acceptance bonus possible_amount: 12000 estimate: 12000 included_amount: 6000 constraint_basis: Classroom judgment constrains a 70 percent pass estimate to 6000; it is not probability multiplication. allocated_to: null obligations: - {id: device, promise: Monitoring device, standalone_selling_price: 100000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: installation, promise: Installation, standalone_selling_price: 20000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: support, promise: Three-year support, standalone_selling_price: 30000, transfer: over-time, progress_numerator: 1, progress_denominator: 3} unpriced_promises: - promise: Material right to fourth-year support at 5000 rather than a comparable 9000 reason_unpriced: The worked example supplies no standalone selling price for this right. evidence: The Meeting 8 promise map identifies four obligations but allocates across three supplied prices. billed: 100000 collected: 90000 unconditional_receivable: 10000 allocation_scope: stipulated-partial scope_limit: The fourth-year material right has no SSP in the worked schedule; these are only the three stipulated allocations. linked_artifact: corpus/content/examples/revenue-from-contracts-with-customers/linden-peak-device-support-allocation.md surfaces: [slides/course/acc300/session-08/slides.tex] riverbend-sensor: id: SCEN:acc300/meeting-08/riverbend-sensor entity: Riverbend counterparty: Sensor customer period: Meeting 8 reserve exercise unit: USD contract_facts: [Standard sensor delivered December 1 and one of 12 monitoring months completed.] judgment_basis: The sensor transfers on delivery and monitoring transfers with elapsed service. fixed_consideration: 96000 obligations: - {id: sensor, promise: Standard sensor, standalone_selling_price: 80000, transfer: point-in-time, progress_numerator: 1, progress_denominator: 1} - {id: monitoring, promise: Twelve months of monitoring, standalone_selling_price: 40000, transfer: over-time, progress_numerator: 1, progress_denominator: 12} billed: 70000 collected: 60000 unconditional_receivable: 10000 surfaces: [slides/course/acc300/session-08/slides.tex] agencies: sable-kestrel-reagents: id: SCEN:acc300/reading-2-3/sable-kestrel-reagents entity: Sable Ridge Instruments principal: Kestrel Biologics period: Year ended December 31, 2026 unit: USD facts: - Kestrel sets prices and ships reagents directly to customers. - Sable takes orders and earns a commission on gross orders. judgment_basis: Kestrel controls the reagents before transfer; Sable is the agent. gross_orders: 600000 commission_rate: "0.15" surfaces: [site/src/pages/book-preview/_section-2-3.md]