Question

During 2020, Blossom Company started a construction job with a contract price of $1,184,000. The job was completed in 2022. The following information is available. The contract is non-cancellable.

		2020		2021		2022
Costs incurred to date		$296,000		$610,500		$791,800
Estimated costs to complete		444,000		203,500		0
Billings to date (non-refundable)		222,000		666,000		1,184,000
Collections to date		199,800		599,400		1,054,500

(a)

Partially correct answer iconYour answer is partially correct.

Calculate the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

		2020		2021		2022
Gross profit / (loss)		177600		255300		(74000)

I have Percentages as 40%, 75% and 100%

The $255300 and (74000) are wrong in my answer.

Answer 1

.