Question: ONeil, Inc. began work on a $7,000,000 contract in 2010 to construct an office building. ONeil uses the percentage-of-completion method. At December 31, 2010, the

O’Neil, Inc. began work on a $7,000,000 contract in 2010 to construct an office building. O’Neil uses the percentage-of-completion method. At December 31, 2010, the balances in certain accounts were: construction in process $2,450,000; accounts receivable $240,000; and billings on construction in process $1,400,000. Indicate how these accounts would be reported in O’Neil’s December 31, 2010 balance sheet.

Step by Step Solution

★★★★★

3.53 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Current Assets Accounts Receivable 240... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

11-B-A-R-R (35).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

1. Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used. 2. Prepare all necessary journal entries for 2018. 3.Compute the amount of...

Nathan uses the percentage of completion method to report income from his real estate construction contracts. A contract was begun in 2016 and completed in 2017. In 2016, Nathan reported gross income...

Nathan uses the percentage of completion method to report income from his real estate construction contracts. A contract was begun in 2017 and completed in 2018. In 2017, Nathan reported gross income...

ONeil, Inc. began work on a $7,000,000 contract in 2014 to construct an office building. ONeil uses the percentage-of-completion method. At December 31, 2014, the balances in certain accounts were...

ONeil, Inc. began work on a $7,000,000 contract in 2012 to construct an office building. ONeil uses the percentage-of-completion method. At December 31, 2012, the balances in certain accounts were...

Brief Exercise 18-23 Culver, Inc. began work on a $7,249,000 contract in 2017 to construct an office building. Culver uses the completed-contrat methad. At December 31, 2017,the balances in certain...

O'Neil Inc. began work on a $6,018,000 contract in 2014 to construct an officie building. O'Neil uses the percentage-of-completion method. At December 31, 2014, the balances in certain accounts were...

BE18-1 Manual Company sells goods to Nolan Company during 2014. It offers Nolan the following rebates based on total sales to Nolan. If total sales to Nolan are 10,000 units, it will grant a rebate...

ONeil, Inc. began work on a $7,000,000 contract in 2012 to construct an office building. ONeil uses the percentage-of-completion method. At December 31, 2012, the balances in certain accounts were...

Sandhill, Inc. began work on a $7,659,000 contract in 2025 to construct an office building. Sandhill uses the cost-recovery method. At December 31, 2025, the balances in certain accounts were...

Project has required return 16.5%. initial cost of 21000 and cash flows of: YR1 12000...YR2 9000 YR3 5000 YR4 2000. What is IRR

Tratix company has been in industry for 10 years. They sell in the France market only. They have 100 employees. T hey sell 1,500,000 units on average per year. This year, they expect the demand to...

A program is being written which only accepts numbers in the range 1 to 100 (inclusively) to be input. Validation routines are being used to check the input data. a Name two validation routines which...

SmacFone is a major provider of pay-by-the-minute, no contract cellphones that are very popular with ordinary consumers. They are also quite popular with drug dealers, who appreciate the anonymity...

Muskogee Company had sales of $60,000,000 in 2009. In 2013, sales had increased to $75,000,000. A quality improvement program was implemented at the beginning of 2009. Overall conformance quality was...

Kang Company reported sales of $3,240,000 in 2015. At the end of the calendar year, the following quality costs were reported: Design review .......$162,000 Recalls ........... 54,000 Reinspection...

What is the maturity value of a five-year term deposit of $5000 at 3.5% com- pounded semi-annually? How much interest did the deposit earn?

You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $57,000, has a five-year life, and has an annual OCF (after tax) of -$10,000 per year. The Keebler CookieMunster costs...

A 100C stream from a chemical reactor at 40 bar contains hydrogen at a flowrate of 405 kmol/hr, methane at 95 kmol/hr, benzene at also at a flowrate of 95 kmol/hr and toluene at 5 kmol/hr. The stream...

In 2012, Amirante Corporation had pretax financial income of $168,000 and taxable income of $120,000. The difference is due to the use of different depreciation methods for tax and accounting...

Oxford Corporation began operations in 2012 and reported pretax financial income of $225,000 for the year. Oxfords tax depreciation exceeded its book depreciation by $40,000. Oxfords tax rate for...

As Beechnut Mining Companys independent certified public accountant, you find that the company accountant posts adjusting and closing entries directly to the ledger without formal entries in the...

Give three common examples of contra accounts. Explain why contra accounts are used.

Payment of insurance in advance may be recorded in either (a) an expense account or (b) an asset account. Which method would you recommend? What periodic entries are required under each method?

4 . Shares of ABC Ltd are currently traded at Rs . 1 7 7 0 . A call option with a strike price of 1 7 5 0 and expiring in 9 0 days is traded at Rs . 6 0 while a put with same strike price and...