Percentage completion = 3120000/10400000 = 30%
Revenue report in Current year = 16000000*30% = $4800000
So answer is c)$4800000
Excess Construction Corp. has a $16 million contract to construct a building. The company estimates $10.4...
Construction Solutions has a $20 million contract to construct a building. The company estimates a gross profit of $4 million. During the current year, the company incurred $2 million of costs on the contract. Under the percentage-of-completion method, how much will Construction Solutions report as revenue in the current year?
1.Hometown Construction Corp. entered into a long-term contract to build an office building for Outsider Corp. at a fixed contract price of $27.5 million on 6/15/2016. Construction of the building is completed on 12/15/2018. Hometown Construction expects the building to be completed in two and a half years and uses the Percentage of Completion Method (cost to cost approach) to account for the contract. Cost information related to the contract are as follows: 2016 2017 2018 Actual Construction costs incurred...
A construction company entered into a fixed price contract to build an office building for $16 milion. Construction costs incurred during the first year were $3 million and estimated costs to complete at the end of the year were $7 million. The company recognizes revenue over time according to percentage of completion How much revenue and gross profit or loss will appear in the company's income statement in the first year of the contract? (Enter your answer in whole dollars.)...
A construction company entered into a fixed-price contract to build an office building for $12 million. Construction costs incurred during the first year were $4 million and estimated costs to complete at the end of the year were $6 million. The company recognizes revenue over time according to percentage of completion. How much revenue and gross profit or loss will appear in the company's income statement in the first year of the contract? (Enter your answer in whole dollars.) Revenue
A construction company entered into a fixed-price contract to build an office building for $46 million. Construction costs incurred during the first year were $12 million and estimated costs to complete at the end of the year were $28 million. The company recognizes revenue over time according to percentage of completion. How much revenue and gross profit or loss will appear in the company's income statement in the first year of the contract? (Enter your answer in whole dollars.) Revenue
1) A construction company entered into a fixed-price contract to build an office building for $20 million. Construction costs incurred during the first year were $6 million and estimated costs to complete at the end of the year were $9 million. The building was completed during the second year. Construction costs incurred during the second year were $10 million. How much revenue and gross profit or loss will the company recognize in the first and second year if it recognizes...
A construction company entered into a fixed-price contract to build an office building for $20 million. Construction costs incurred during the first year were $6 million and estimated costs to complete at the end of the year were $9 million. The building was completed during the second year. Construction costs incurred during the second year were $10 million. How much revenue and gross profit or loss will the company recognize in the first and second year if it recognizes revenue...
A construction company entered into a fixed-price contract to build an office building for $44 million. Construction costs incurred during the first year were $14 million and estimated costs to complete at the end of the year were $21 million. The building was completed during the second year. Construction costs incurred during the second year were $22 million. How much revenue and gross profit or loss will the company recognize in the first and second year if it recognizes revenue...
Accounting 305 Chapters 2 & 3 Homework Hometown Construction Corp. entered into a long-term contract to build an office building for Outsider Corp. at a fixed contract price of $27.5 million on 6/15/2016. Construction of the building is completed on 12/15/2018. Hometown Construction expects the building to be completed in two and a half years and uses the Percentage of Completion Method (cost to cost approach) to account for the contract. Cost information related to the contract are as follows:...
A construction company entered into a fixed-price contract to build an office building for $30 million. Construction costs incurred during the first year were $10 million and estimated costs to complete at the end of the year were $15 million. During the first year the company billed its customer $11 million, of which $3 million was collected before year-end. What would appear in the year-end balance sheet related to this contract using the percentage-of-completion method? (Enter you answers in whole...