Ayayai Construction, Inc. experienced the following construction activity in 2021, the first year of operations. Contract X Y N Total Billings Contract Through Price 12/31/21 $254,000 $161,000 112,000 323,000 229,000 229,000 Ayayai Construction, Inc. Partial Income Statement For the Year 2021 S Cash Collections Through 12/31/21 S $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 $806,000 $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. 252,000 Prepare a partial income statement to indicate how the above contract information would be reported. Ayayai uses the completed-contract method. -0-
Ayayai Construction, Inc. experienced the following construction activity in 2021, the first year of operations. Contract X Y N Total Billings Contract Through Price 12/31/21 $254,000 $161,000 112,000 323,000 229,000 229,000 Ayayai Construction, Inc. Partial Income Statement For the Year 2021 S Cash Collections Through 12/31/21 S $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 $806,000 $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. 252,000 Prepare a partial income statement to indicate how the above contract information would be reported. Ayayai uses the completed-contract method. -0-
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text: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
Billings
Through
12/31/21
$161,000
i
112,000
S
229,000
Ayayai Construction, Inc.
Partial Income Statement
For the Year 2021
Cash
Collections
Through
12/31/21
$148,000
108,000
192,000
Costs
Incurred
Through
12/31/21
$174,000
100,000
158,000
$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.
Estimated
Additional
Costs to
Complete
$ 56,000
252,000
Prepare a partial income statement to indicate how the above contract information would
be reported. Ayayai uses the completed-contract method.
-0-
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