Answered: Calculate the revenue, cost of goods…

Calculate the revenue, cost of goods sold and gross profit to be recognized in each year. Čalculate the ending balance in accounts receivable in each year.

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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Question

2020
2021
Costs Incurred in
3,000
6,000
The Year
Estimated Costs
9,000
to Complete
Billings During
the Year
4,500
5,500
Cash Collections
3,500
6,000
Selling Price: $15,000
Calculate the revenue, cost of goods sold and
gross profit to be recognized in each year.
Calculate the ending balance in accounts
receivable in each year.
2020
2021
Revenue
Cost of Goods Sold
Gross Profit
Ending Accounts
Receivable

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