Cullumber Construction Company had a contract starting April 2021, to construct a $43000000 building that is expected to be completed in September 2022, at an estimated cost of $39400000. At the end of 2021, the costs to date were $18124000 and the estimated total costs to complete had not changed. The progress billings during 2021 were $8420000 and the cash collected during 2021 was $5610000. Cullumber uses the percentage-of-completion method. For the year ended December 31, 2021, Cullumber would recognize gross profit on the building of $1656000. $0. $2810000. $1517358.
Cullumber Construction Company had a contract starting April 2021, to construct a $43000000 building that is expected to be completed in September 2022, at an estimated cost of $39400000. At the end of 2021, the costs to date were $18124000 and the estimated total costs to complete had not changed. The progress billings during 2021 were $8420000 and the cash collected during 2021 was $5610000. Cullumber uses the percentage-of-completion method. For the year ended December 31, 2021, Cullumber would recognize gross profit on the building of $1656000. $0. $2810000. $1517358.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Cullumber Construction Company had a contract starting April 2021, to construct a $43000000 building that is expected to be completed in September 2022, at an estimated cost of $39400000. At the end of 2021, the costs to date were $18124000 and the estimated total costs to complete had not changed. The progress billings during 2021 were $8420000 and the cash collected during 2021 was $5610000. Cullumber uses the percentage-of-completion method.
For the year ended December 31, 2021, Cullumber would recognize gross profit on the building of
$1656000.
$0.
$2810000.
$1517358.
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