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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.

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