In 2007 Jeff Rouse Construction Company agreed to construct an apartment building at a price of $1,000,000.
Question:
Instructions
Assuming that the percentage-of-completion method is used, compute the amount of gross profit to be recognized in 2007 and2008.
Transcribed Image Text:
2007 2008 Costs incurred to date Estimated costs yet to be incurred Customer billings to date Collection of billings to date $280,000 $600,000 200,000 400,000 520,000 150,000 120000 320,000 2009 785,000 1,000,000 1, 940,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 60% (10 reviews)
Gross profit recognized in 2007 Contract price 1000000 Costs ...View the full answer
Answered By
John Grant
I have a degree in Law, which is one of the highly rated courses in our Country. My experiences in the legal affairs, as well as business affairs, does not only fall within the two-year experience I have engaged, but dates to the businesses that I have sup[ported in terms of business and legal counsel. Personally, the business I initiated is undergoing excellent growth and is soon becoming a middle size company based on our production and employment rates. As an enthusiastic individual, I have developed the interest in issuing my knowledgeable services to students to be able to pursue their courses efficiently.
0.00
0 Reviews
10+ Question Solved
Related Book For
Intermediate Accounting principles and analysis
ISBN: 978-0471737933
2nd Edition
Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso
Question Posted:
Students also viewed these Accounting questions
-
In 2014, Ronalda Construction Inc. agreed to construct an apartment building at a price of $10 million. Information on the costs and billings for the first two years of this contract is as follows:...
-
In 2012, Gurney Construction Company agreed to construct an apartment building at a price of $1,200,000. The information relating to the costs and billings for this contract is shown below....
-
The Maple Construction Company agreed to construct twelve monuments for the city of Elderton. The total contract price was $2.4 million, and total estimated casts were $1,140,000. The construction...
-
Prepare a statement of cash flows in proper form using the inflows and outflows from questions 4-15. Assume net income (earnings after taxes) from the 2018 income statement was $10,628, and $5,000 in...
-
Gladstone Company tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period, as if it uses a periodic...
-
Roberta is a self-employed accountant. During the year, Roberta incurs the following unreimbursed expenses: Identify which of these expenses are deductible and the amount that is deductible by...
-
Explain why lift is considered a mechanical force.
-
Hyper Sports Inc. manufactures basketballs for the National Basketball Association (NBA). For the first 6 months of 2011, the company reported the following operating results while operating at 90%...
-
On December 3 1 , 2 0 2 4 , Sheridan Landscaping's common shares were trading for $ 1 5 , and the company had the following shareholder's equity accounts:Common Shares ( no par value, unlimited...
-
Use the longest work element rule to balance the assembly line described in the following table and Figure so that it will produce 40 units per hour. a. What is the cycle time? b. What is the...
-
On April 1, 2008, Brad Bridgewater Inc. entered into a cost-plus-fixed-fee contract to construct an electric generator for Tom Dolan Corporation. At the contract date, Bridgewater estimated that it...
-
Amy Van Dyken Construction Company uses the percentage-of-completion method of accounting. In 2008, Van Dyken began work under contract #E2-D2, which provided for a contract price of $2,200,000....
-
True Or False Both smaller and larger jury awards are more frequent than they were 20 years ago because of the failure to use small juries.
-
Can you analyze the impact of globalization on Media Arts practices, including the dissemination of cultural narratives, the homogenization of aesthetic trends, and the preservation of indigenous...
-
Sky Train Inc. originally issued 10-year bonds with a face value of $1000 at par. The bonds have a coupon rate of 8%, and coupons are paid semiannually. The bonds will mature in 6 years, and the...
-
Solve the inequality. - 04 7(x + 1) < 18
-
Fadette borrows $50,000 today and agrees to make the following payments: $15,000 in two years, $30,000 in 5 years and $20,000 in 6 years. a) [5 points] Represent the schedule of the monetary flows...
-
Salmone Company reported the following purchases and sales for its only product Salmone uses a periodic inventory system. Determine the cost assigned to cost of goods sold using LIFO Date Activities...
-
Discuss at least three disadvantages of PERT that, in your opinion, have contributed to its limited use. Do not include the shortcomings. Instead, discuss the challenges that it may encounter in its...
-
Archangel Corporation prepared the following variance report. Instructions Fill in the appropriate amounts or letters for the question marks in the report. ARCHANGEL CORPORATION Variance...
-
The Yale tablet from the Babylonian collection, written between 1900 b.c. and 1600 b.c., contains the following algebra problem: The length of a rectangle exceeds the width by 7, and the area is 60....
-
ADJUSTING NET INCOME FOR NONCASH EXPENSES After adjusting net income for changes in current assets and current liabilities, Cha Cha Dance Companys cash from operating activities is $60,000. However,...
-
GAINS AND LOSSES ON THE SALE OF LONG-TERM ASSETS The income statement for Leadbetter's Golf Camp follows. Assume that all revenues and expenses were for cash and that land was sold for $600. There...
-
CASH FLOWS FROM INVESTING AND FINANCING ACTIVITIES Hansen Company's comparative balance sheets as of December 31, 20-2 and 20-1, showed the following with regard to investing and financing...
-
Suppose a, b, and c are int variables and a = 5 and b = 6. What value is assigned to each variable after each statement executes? If a variable is undefined at a particular statement, report UND...
-
In terms of hydrogen ion concentration, how much more acidic is a solution with a pH of 4.0 than a solution with a pH of 5.5? Round your answer to the nearest tenth. Show Recall that pH, p(x), is...
-
The following was submitted under the original assignment of "write small program that uses dynamic binding".. now what is requested is to suggest another way to take advantage of the dynamic biding...
Study smarter with the SolutionInn App