Peete Construction Co. (PCC) is constructing a small wooden bridge for a customer that will take 18

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Question:

Peete Construction Co. (PCC) is constructing a small wooden bridge for a customer that will take 18 months to complete. PCC considers the completion of the bridge to be one act, so the percentage of completion method is not appropriate. Assuming PCC reports under ASPE, how should revenue be recognized on the contract?

A. Using the cost recovery method

B. Using the completed contract method

C. Using either the completed contract method or the cost recovery method

D. Using either the completed contract method or the percentage of completion method