Question: A Company agrees to construct a building for $9,000,000, it will take 3 years to complete, and the Expected total costs are $6,000,000 Cost incurred

A Company agrees to construct a building for $9,000,000, it will take 3 years to complete, and the Expected total costs are $6,000,000


Cost incurred in the year 1= 4,000,000                In year 2= 2,000,000

Expected costs to complete in year 1=4,000,000  In year 2=1,000,000


What is the gross profit or loss under PCM?


What is the gross profit or loss under CCM?

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