Crane Construction Co. uses the percentage-of-completion method. In 2021, Crane began work on a contract for $24475000; it was completed in 2022. The following cost data pertain to this contract:Year Ended December 3120212022Cost incurred during the year$8350000$6150000Estimated costs to complete at the end of year5739000If the completed-contract method of accounting was used, the amount of gross profit to be recognized for years 2021 and 2022 would be20212022$9975000.$(411000).$0.$10386000.$10386000.$0.$0.$9975000.O O

Given that, the cost incurred during the year- 2021 - $8350000 2022 - $6150000 Estimated cost to…

Crane Construction Co. uses the percentage-of-completion method. In 2021, Crane began work on a contract for $24475000; it was completed in 2022. The following cost data pertain to this contract: Year Ended December 31 2022 2021 Cost incurred during the year Estimated costs to complete at the end of year $8350000 $6150000 5739000 If the completed-contract method of accounting was used, the amount of gross profit to be recognized for years 2021 and 2022 would be 2021 2022 $9975000. $(411000). $0. $10386000. $10386000. $0. $0. $9975000.

Crane Construction Co. uses the percentage-of-completion method. In 2021, Crane began work on a contract for $24475000; it was completed in 2022. The following cost data pertain to this contract: Year Ended December 31 2022 2021 Cost incurred during the year Estimated costs to complete at the end of year $8350000 $6150000 5739000 If the completed-contract method of accounting was used, the amount of gross profit to be recognized for years 2021 and 2022 would be 2021 2022 $9975000. $(411000). $0. $10386000. $10386000. $0. $0. $9975000.

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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