Beavis Construction Company was the low bidder on a construction project to build an earthen dam...
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Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,750,000. The project was begun in 2020 and completed in 2021. Cost and other data are presented below: 2020 2021 Costs incurred during the year Estimated costs to complete Billings during the year $469,000 $1,050, 000 871,000 480,000 1,270,000 Cash collections during the year 380,000 1,370,000 Assume that Beavis recognizes revenue on this contract over time according to percentage of completion. Required: Prepare all journal entries to record costs, billings, collections, and profit recognition. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit Construction in progress 1 2 3 2020 2020 2020 X 4 5 6 7 8 9 2020 2021 2021 2021 2021 2021 X XX XX Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,750,000. The project was begun in 2020 and completed in 2021. Cost and other data are presented below: 2020 2021 Costs incurred during the year Estimated costs to complete Billings during the year $469,000 $1,050, 000 871,000 480,000 1,270,000 Cash collections during the year 380,000 1,370,000 Assume that Beavis recognizes revenue on this contract over time according to percentage of completion. Required: Prepare all journal entries to record costs, billings, collections, and profit recognition. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit Construction in progress 1 2 3 2020 2020 2020 X 4 5 6 7 8 9 2020 2021 2021 2021 2021 2021 X XX XX
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Answer rating: 100% (QA)
1 Total cost incurred till 2020 469000 2 Total cost incurred till 2021 1050000 3 Total cost469000105... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0324312140
16th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date:
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