Question
Indiana Co. began a construction project in 2021 with a contract price of $164 million to...
Indiana Co. began a construction project in 2021 with a contract
price of $164 million to be received when the project is completed
in 2023. During 2021, Indiana incurred $36 million of costs and
estimates an additional $88 million of costs to complete the
project. Indiana recognizes revenue over time and for this project
recognizes revenue over time according to the percentage of the
project that has been completed.
Multiple Choice:
A) Recognized $36.00 million loss on the project in 2021.
B) Recognized no gross profit or loss on the project in 2021.
C) Recognized $11.61 million gross profit on the project in 2021.
D) Recognized $76.00 million loss on the project in 2021.
Homework Answers
Answer #1
Not the answer you're looking for?
Similar Questions
Indiana Co. began a construction project in 2021 with a contract price of $164 million to...
Indiana Co. began a construction project in 2021 with a contract
price of $164 million to be received when the project is completed
in 2023. During 2021, Indiana incurred $30 million of costs and
estimates an additional $83 million of costs to complete the
project. Indiana recognizes revenue over time and for this project
recognizes revenue over time according to the percentage of the
project that has been completed.
In 2022, Indiana incurred additional costs of $50 million and
estimated...
Indiana Co. began a construction project in 2021 with a contract price of $165 million to...
Indiana Co. began a construction project in 2021 with a contract
price of $165 million to be received when the project is completed
in 2023. During 2021, Indiana incurred $30 million of costs and
estimates an additional $81 million of costs to complete the
project. Indiana recognizes revenue over time and for this project
recognizes revenue over time according to the percentage of the
project that has been completed.
Suppose that, in 2022, Indiana incurred additional costs of $65
million...
Indiana Co. began a construction project in 2021 with a contract price of $165 million to...
Indiana Co. began a construction project in 2021 with a contract
price of $165 million to be received when the project is completed
in 2023. During 2021, Indiana incurred $32 million of costs and
estimates an additional $87 million of costs to complete the
project. Indiana recognizes revenue over time and for this project
recognizes revenue over time according to the percentage of the
project that has been completed.
In 2022, Indiana incurred additional costs of $52 million and
estimated...
Georgia Co. began a construction project in 2021 with a contract price of $162 million to...
Georgia Co. began a construction project in 2021 with a
contract price of $162 million to be received when the project is
completed in 2023. During 2021, Georgia incurred $30 million of
costs and estimates an additional $82 million of costs to complete
the project. Georgia recognizes revenue over time and for this
project recognizes revenue over time according to the percentage of
the project that has been completed.
In 2022, Georgia incurred additional costs of $59
million and...
Indiana Co. began a construction project in 2018 with a contract price of $162 million to...
Indiana Co. began a construction project in 2018 with a contract
price of $162 million to be received when the project is completed
in 2020. During 2018 Indiana Incurred $32 million of costs and
estimates and additional $85 million of costs to complete the
project. Indiana recognizes revenue over time and for this project
recognizes revenue over time according to the percentage of the
project that has been completed. Supposed that in 2019, Indiana
Incurred additional costs of $63 million...
1. On November 1, 2018, Taylor signed a one-year contract to provide handyman services on an...
1. On November 1, 2018, Taylor signed a one-year contract to
provide handyman services on an as-needed basis to King Associates,
with the contract to start immediately. King agreed to pay Taylor
$5,400 for the one-year period. Taylor is confident that King will
pay that amount, but payment is not scheduled to occur until 2019.
Taylor should recognize revenue in 2018 in the amount of
Multiple Choice
a. $900
b. $2,700
c. $0
d. $5,400
2.
Mary signed up and...
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa...
In 2021, the Westgate Construction Company entered into a
contract to construct a road for Santa Clara County for
$10,000,000. The road was completed in 2023. Information related to
the contract is as follows:
2021
2022
2023
Cost incurred during the year
$
2,072,000
$
2,738,000
$
2,849,000
Estimated costs to complete as of year-end
5,328,000
2,590,000
0
Billings during the year
2,160,000
2,650,000
5,190,000
Cash collections during the year
1,880,000
2,700,000
5,420,000
Westgate recognizes revenue over time according to...
On June 15, 2018, Sanderson Construction entered into a long-term construction contract to build a baseball...
On June 15, 2018, Sanderson Construction entered into a
long-term construction contract to build a baseball stadium in
Washington, D.C., for $330 million. The expected completion date is
April 1, 2020, just in time for the 2020 baseball season. Costs
incurred and estimated costs to complete at year-end for the life
of the contract are as follows ($ in millions):
2018
2019
2020
Costs incurred during the year
$
90
$
70
$
45
Estimated costs to complete as of...
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa...
In 2021, the Westgate Construction Company entered into a
contract to construct a road for Santa Clara County for
$10,000,000. The road was completed in 2023. Information related to
the contract is as follows:
2021
2022
2023
Cost incurred during the year
$
2,490,000
$
3,984,000
$
2,008,600
Estimated costs to complete as of year-end
5,810,000
1,826,000
0
Billings during the year
2,030,000
4,444,000
3,526,000
Cash collections during the year
1,815,000
3,900,000
4,285,000
Westgate recognizes revenue over time according to...
On February 1, 2021, Arrow Construction Company entered into a three-year construction contract to build a...
On February 1, 2021, Arrow Construction Company entered into a
three-year construction contract to build a bridge for a price of
$8,210,000. During 2021, costs of $2,070,000 were incurred with
estimated costs of $4,070,000 yet to be incurred. Billings of
$2,570,000 were sent, and cash collected was $2,320,000.
In 2022, costs incurred were $2,570,000 with remaining costs
estimated to be $3,705,000. 2022 billings were $2,820,000 and
$2,545,000 cash was collected. The project was completed in 2023
after additional costs of...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 15 minutes ago
asked 37 minutes ago
asked 42 minutes ago
asked 55 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 2 hours ago
asked 2 hours ago