Question: Question #5 ( 8 marks) In 2016, Safa construction began construction work on a 3-year contract. The contract price was $750,000. Safa uses the percentage

Question #5 ( 8 marks)

In 2016, Safa construction began construction work on a 3-year contract. The contract price was $750,000. Safa uses the percentage of completion method {PC}. PC = [Costs incurred to date]/[Total estimated costs]

The income statement for the project in 2016 is given below:

Construction revenue	$125,000
Construction expenses	100,000
Gross profit	$ 25,000

Calculate the initial estimated total cost, and the initial estimated total profit

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!

Question #5 ( 8 marks) In 2016, Safa construction began construction work on a 3-year contract. The contract price was $750,000. Safa uses the percentage of completion method {PC}. PC The income...

Question is (8 marks In 2016, Sala construction began construction work on a 3-year contract. The contract price was $750,000 Safa uses the percentage of completion method (PC). PC (Costs incurred to...

Question #6 (8 marks) In 2016, Harhash construction began construction work on a 3-year contract. The contract price was $875,000. Harhash uses the percentage of completion method {PC}. PC = [Costs...

In 2016, Harhash construction began construction work on a 3-year contract. The contract price was $875,000. Harhash uses the percentage of completion method {PC}. PC = [Costs incurred to...

HW 5 Chapter 18 Question 8 of 20 View Policies MOM MOZ O PLUS /10 Question 2 Current Attempt in Progress In 2020. Avayai Construction Corp. began construction work under a 3-year contract. The...

Compare between your answers to requirements income statement and balance sheet above with U.S. GAAP and uses the percentage of completion method , under IFRSand uses the cost recovery method and...

I need Answers for Exercise 18-4B, 18-8B, 15-15B, 18-21 B and 18-26B from the attached document Kieso, Intermediate Accounting, 2014 FASB Update, Chapter 18 EXERCISES: Set B 3 5 E18-1B (Sales with...

~~~~~Income Statement~~~~~ You only need to finish IS tab. Actually the IS almost done, just need finish earnings per share part at the bottom under IS tab. Do 11 Steps for 2014, each Step in...

See Park City_CAFR_ 2014.pdf See ACC530_CAFR Project_S15.doc Pls help me answer the Part 8-Part 10 of the CAFR project. ACCT530- Accounting for Public Sector Entities CAFR Project Due Friday, April...

All companies referred to in this project are publicly reportable enterprises and have a December 31 year end. Unless instructed otherwise, round all calculations to the nearest dollar. You will not...

The components of an electronic system dissipate 90 W are located in a 1-m-long horizontal duct whose cross section is 16 cm ( 16 cm. The components in the duct are cooled by forced air, which enters...

Beaver Limited is a retail company that sells sporting goods. The company has a customer loyalty program that allows customers to earn points based on sales made. These points can be accumulated and...

The shareholders of an S corporation must pay self - employment tax on their share of the corporation's ordinary income. True or False

Under which of the mentioned conditions it would diffioult for an organization to increase their productivity: All of the sbove. The activities involved in the production process are quantitative as...

The text discusses Affirmative Action (AA) and defines what it means: planned special efforts to recruit, hire, and promote women and members of minority groups. How would you assess or describe...

In your opinion, is the glass ceiling still alive and well at Google or has Google satisfactorily addressed the issue?

It takes time to follow a time management system. Is the time taken worth the benefits? Will you use a time management system? Why or why not?