Brady Construction Company contracted to build an apartment complex for a price of $5,500,000. Construction began in 2024 and was completed in 2026. The following is a series of independent situations, numbered 1 through 6, involving differing costs for the project. All costs are stated in thousands of dollars. Situation 1 2 3 4 5 6 Costs Incurred during Year 2024 2026 $ 1,550 1,550 1,550 550 550 550 2025 $ 2,280 1,050 2,280 3,050 3,050 3,050 $ 1,050 2,600 2,000 1,100 1,650 2,300 Estimated Costs to Complete (As of the End of the Year) 2024 2025 2026 $ 3,330 3,330 3,330 3,850 3,850 5,100 $ 1,050 2,600 1,900 900 1,900 2,150

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Chapter1: Financial Statements And Business Decisions
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Brady Construction Company contracted to build an apartment complex for a price of $5,500,000. Construction began in 2024 and
was completed in 2026. The following is a series of independent situations, numbered 1 through 6, involving differing costs for the
project. All costs are stated in thousands of dollars.
Situation
1
2
3
4
5
6
Costs Incurred during Year
2024
2026
$1,550
1,550
1,550
550
550
550
Situation
1
2
3
4
5
6
2025
$ 2,280
1,050
2,280
3,050
3,050
3,050
$ 1,050
2,600
2,000
1,100
1,650
2,300
Required:
Complete the following table.
Note: Do not round intermediate calculations. Enter your answers in whole dollars and not in thousands of dollars (i.e., $400
thousand should be entered as $400,000). Round your final answers to the nearest whole dollar. Negative amounts should be
indicated by a minus sign.
Estimated Costs to Complete
(As of the End of the Year)
2024
2025
2026
$ 1,050
2,600
1,900
900
1,900
2,150
$ 3,330
3,330
3,330
3,850
3,850
5,100
2024
$196,926 $ 289,672 $
(46,926) ✔
(350,661) X
6,620,500 X
196,926✔
196,926✔
137,500
137,500
(137,500)
14,602 x (141,920) X
X Answer is not complete.
Gross Profit (Loss) Recognized
Revenue Recognized Over Time
2025
2026
133,402 ✔
150,000✔
(176,265) X
250,000
(243,478) X
Revenue Recognized Upon Completion
2024
2026
(14,602) X
2025
(153,735) X
$ 620,000
(176,265) X
Transcribed Image Text:Brady Construction Company contracted to build an apartment complex for a price of $5,500,000. Construction began in 2024 and was completed in 2026. The following is a series of independent situations, numbered 1 through 6, involving differing costs for the project. All costs are stated in thousands of dollars. Situation 1 2 3 4 5 6 Costs Incurred during Year 2024 2026 $1,550 1,550 1,550 550 550 550 Situation 1 2 3 4 5 6 2025 $ 2,280 1,050 2,280 3,050 3,050 3,050 $ 1,050 2,600 2,000 1,100 1,650 2,300 Required: Complete the following table. Note: Do not round intermediate calculations. Enter your answers in whole dollars and not in thousands of dollars (i.e., $400 thousand should be entered as $400,000). Round your final answers to the nearest whole dollar. Negative amounts should be indicated by a minus sign. Estimated Costs to Complete (As of the End of the Year) 2024 2025 2026 $ 1,050 2,600 1,900 900 1,900 2,150 $ 3,330 3,330 3,330 3,850 3,850 5,100 2024 $196,926 $ 289,672 $ (46,926) ✔ (350,661) X 6,620,500 X 196,926✔ 196,926✔ 137,500 137,500 (137,500) 14,602 x (141,920) X X Answer is not complete. Gross Profit (Loss) Recognized Revenue Recognized Over Time 2025 2026 133,402 ✔ 150,000✔ (176,265) X 250,000 (243,478) X Revenue Recognized Upon Completion 2024 2026 (14,602) X 2025 (153,735) X $ 620,000 (176,265) X
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