Larsen Construction Company signed a long-term contract for $24,000,000 on January 5, 2009. It is estimated the

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Larsen Construction Company signed a long-term contract for $24,000,000 on January 5, 2009.

It is estimated the costs will be $16,000,000.

The company plans on using the percentage-of-completion method to account for revenue recognition.

Actual construction costs are 2009: $5,600,000; 2010: $6,400,000; 2011: $4,000,000.

Instructions: Show how much gross profit Larsen Company should recognize each year.

Related Book For answer-question

Introduction to Financial Accounting

ISBN: 978-0133251036

11th edition

Authors: Charles Horngren, Gary Sundem, John Elliott, Donna Philbrick

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Posted Date: Jan 03, 2021 07:05 AM

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Larsen Construction Company signed a long-term contract for $24,000,000 on January 5, 2009. It is estimated the

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Introduction to Financial Accounting

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