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Assume that AAA Construction Corp. has a contract to build a ship for $1,000 and a reliable estimate of the 

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Assume that AAA Construction Corp. has a contract to build a ship for $1,000 and a reliable estimate of the contract's total cost is given below Project costs incurred by AAA are as follows: AAA Project Costs Year 2011 2012 2013 2014 Total Cost Incurred 355 345 175 Rest 890 Interest Incurred 3% 3.50% 4.50 % 3.65% Determine AAA's net income from this project for each year using the percentage-of-completion and completed contract methods in accordance with U.S. GAAP through the evaluation of expense and capitalization recognition and also by U.S GAAP based recognition.

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SOLUTION To determine AAA Construction Corp s net income from the project for each year we will calculate it using both the percentage of completion m View the full answer


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Advanced Accounting

Advanced Accounting

ISBN: 978-1118037911

1st Canadian Edition

Authors: Gail Fayerman

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Posted Date: September 30, 2023 06:40:41
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