Ayayai Construction, Inc. experienced the following construction activity in 2021, the firstyear of operations.ContractXYNTotalContractPrice$254,000323,000229,000BillingsThrough12/31/21$161,000Ayayai Construction, Inc.Partial Balance SheetAs of 12/31/18112,000229,000CashCostsCollections IncurredThrough12/31/21Through12/31/21$148,000108,000192,000$174,000100,000158,000EstimatedAdditionalCosts toComplete$ 56,000252,000-0-$806,000 $502,000 $448,000$432,000$308,000Each of the above contracts is with a different customer, and any work remaining atDecember 31, 2021 is expected to be completed in 2022.Prepare a partial balance sheet to indicate how the above contract information would bereported. Ayayai uses the completed-contract method.

INTRODUCTION: Balance sheets provide a fast overview of a company's financial position. A balance…

Ayayai Construction, Inc. experienced the following construction activity in 2021, the first year of operations. Contract X Y N Total Contract Price $254,000 323,000 229,000 $806,000 Cash Billings Collections Through Through 12/31/21 12/31/21 $161,000 Ayayai Construction, Inc. Partial Balance Sheet As of 12/31/18 112,000 229,000 $148,000 108,000 192,000 Costs Incurred Through 12/31/21 $174,000 100,000 158,000 Estimated Additional Costs to Complete $ 56,000 252,000 $502,000 $448,000 $432,000 $308,000 Each of the above contracts is with a different customer, and any work remaining at December 31, 2021 is expected to be completed in 2022. -0- Prepare a partial balance sheet to indicate how the above contract information would be reported. Ayayai uses the completed-contract method.

Ayayai Construction, Inc. experienced the following construction activity in 2021, the first year of operations. Contract X Y N Total Contract Price $254,000 323,000 229,000 $806,000 Cash Billings Collections Through Through 12/31/21 12/31/21 $161,000 Ayayai Construction, Inc. Partial Balance Sheet As of 12/31/18 112,000 229,000 $148,000 108,000 192,000 Costs Incurred Through 12/31/21 $174,000 100,000 158,000 Estimated Additional Costs to Complete $ 56,000 252,000 $502,000 $448,000 $432,000 $308,000 Each of the above contracts is with a different customer, and any work remaining at December 31, 2021 is expected to be completed in 2022. -0- Prepare a partial balance sheet to indicate how the above contract information would be reported. Ayayai uses the completed-contract method.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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