Question: Pool Contractors (PC) entered into a contract to build a solar heated swimming complex for $1,800,000. Construction commenced on July 1, 2020, with a planned

Pool Contractors (PC) entered into a contract to build a solar heated swimming complex for $1,800,000. Construction commenced on July 1, 2020, with a planned completion date of December 31, 2022. A summary of the related accounting information is provided below: 2020 Costs incurred during the year Estimated costs to complete at year-end Billings during the year Cash collections during the year $400,000 2021 2022 $500,000 $650,000 1,200,000 600,000 560,000 500,000 640,000 310,000 0 600,000 990,000 How much gross profit would be recognized in fiscal 2021 if PC uses the percentage of completion method? OA. $100,000 OB. $130,000 OC. $50,000 OD. $180,000 Pool Contractors (PC) entered into a contract to build a solar heated

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Brad is incredibly busy tying up loose ends at the end of the calendar year. His hammock stand business has been doing well but not quite as well as he had hoped. His production level was down...

Pool Contractors(PC) entered into a contract to build a solar heated swimming complex for $1,800,000. Construction commenced on July1, 2020, with a planned completion date of December31, 2022. A...

ors he ibi Smile Operators entered into a contract to build a swimming complex for $1,800,000. Construction commenced on July 1, 2020, with a planned completion date of st December 31, 2022. A...

Smile Operators entered into a contract to build a swimming complex for $1,800,000. Construction commenced on July 1, 2020, with a planned completion date of December 31, 2022. A summary of the...

Nichols Construction Company (NCC) entered into a contract to build a shopping complex for $1,900,000. Construction commenced on July 1, 2020, with a planned completion date of December 31, 2022. A...

Nichos construction Company (NCC) entered into a contract to build a shopping complex for $1,900,000. Construction commenced on July 1, 2020, with a planned completion date of December 31, 2022. A...

Tradel Construction Company entered into a contract to build a condominium building for $1,800,000. Construction commenced on July 1, 2020, with a planned completion date of December 31, 2022. A...

Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...

Sesi 2. Question to be discussed Are the trained staff assets of Open Safari? (Note: Open Safari has incurred significant staff training costs and some staff possess specialised skills that are...

1. Calculate the companys return on total assets for 2012. 2. How much cash will be provided by internal operations in 2013, in particular by the following? Retained earnings Inventories Trade...

A firm wishes to issue a perpetual callable bond. The current interest rate is 9%. Next year, there is a 40% chance that the interest rate will be 5% and a 60% chance that the rate will be 13.3333%....

Solve the differential equation d y d x = 3 y 2 x 2 , y ( 1 ) = 1 5 3 y ( x ) =

Refer to the Journal of Business Logistics (Vol. 36, 2015) study of performance based logistics (PBL) strategies, Exercise 1.15 (p. 25). Recall that the study was based on the opinions of a sample of...

Repeat Problem 18.2 for the Cincinnati Reds. In problem Many factors determine the attendance at Major League Baseball games. These factors can include when the game is played, the weather, the...

Performance-based logistics. Refer to the Journal of Business Logistics (Vol. 36, 2015) study of the factors that lead to successful performance-based logistics (PBL) projects , Exercise 1.15 (p....

Your company is considering a new project that will require $1 million of new equipment at the start of the project. The equipment will have a depreciable life of 10 years and will be depreciated to...

Fortune provides a list of America's largest corporations based on annual revenue. Shown below are the 50 largest corporations, with annual revenue expressed in billions of dollars (CNN Money...

Martha recently learned that Mike, who works in the same position as she, but has been with the company 10 years longer, earns about ten percent more than she does. Discovering this fact doesn't...

5. What do we mean when we say that social facts are mental constructions? Explain this with an example from your own everyday life.

4. What is meant by the following statement, What we take for granted in a social situation may actually prove to be mechanisms that govern how we evaluate and act in the situation?

6. What is meant by the following statement, the methods used to uncover (construct) reality guide our thinking and actions in relation to this reality?