Pickle Company has contracted to build for the city of Charleston a new school. The estimated cost
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Question:
Pickle Company has contracted to build for the city of Charleston a new school. The estimated cost is $6,000,000 | ||||||
and the contract price is $10,000,000. The school took three years to complete as follows: | ||||||
2020 | 2021 | 2022 | ||||
Costs to Date | $1,500,000 | $4,000,000 | $6,200,000 | |||
Costs to Complete | $4,500,000 | $2,200,000 | $0 | |||
Amounts Billed to Date | $2,300,000 | $5,800,000 | $10,000,000 | |||
Collections to Date | $1,300,000 | $5,300,000 | $10,000,000 | |||
Determine using the percentage of completion method the gross profit to be recognized for: | ||||||
2020 | 2021 | 2022 |
b | Determine using the completed contract method the gross profit to be recognized for : | ||||||
2020 | 2021 | 2022 |
Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
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