Business, 31.05.2021 14:50, raquelle66
On February 1, 2021, Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,030,000. During 2021, costs of $2,010,000 were incurred with estimated costs of $4,010,000 yet to be incurred. Billings of $2,510,000 were sent, and cash collected was $2,260,000.
In 2022, costs incurred were $2,510,000 with remaining costs estimated to be $3,615,000. 2022 billings were $2,760,000 and $2,485,000 cash was collected. The project was completed in 2023 after additional costs of $3,810,000 were incurred. The company’s fiscal year-end is December 31. Arrow recognizes revenue over time according to percentage of completion.
Required:
a. Compute the amount of revenue and gross profit or loss to be recognized in 2021, 2022, and 2023 using the percentage of completion method.
b. Prepare journal entries for 2021 to record the transactions described (credit "various accounts" for construction costs incurred).
c. Prepare journal entries for 2022 to record the transactions described (credit "various accounts" for construction costs incurred).
d. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2021.
e. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2022.
Answers: 2
Business, 22.06.2019 11:00, xxaurorabluexx
If the guide wprds on the page are "crochet " and "crossbones", which words would not be on the page. criticize, crocodile, croquet, crouch, crocus.
Answers: 1
Business, 22.06.2019 12:10, weeman6546
Lambert manufacturing has $100,000 to invest in either project a or project b. the following data are available on these projects (ignore income taxes.): project a project b cost of equipment needed now $100,000 $60,000 working capital investment needed now - $40,000 annual cash operating inflows $40,000 $35,000 salvage value of equipment in 6 years $10,000 - both projects will have a useful life of 6 years and the total cost approach to net present value analysis. at the end of 6 years, the working capital investment will be released for use elsewhere. lambert's required rate of return is 14%. the net present value of project b is:
Answers: 2
On February 1, 2021, Arrow Construction Company entered into a three-year construction contract to b...
Mathematics, 04.02.2021 04:30
Geography, 04.02.2021 04:30
Mathematics, 04.02.2021 04:30
Mathematics, 04.02.2021 04:30
History, 04.02.2021 04:30
English, 04.02.2021 04:30
Mathematics, 04.02.2021 04:30