displayed below.) In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2023. Information related to the contract is as follows: 2021 $2,059,000 5,041,000 2,190,000 1,895,000 2022 $2,627,000 2,414,000 2,496,000 2,400,000 2023 $2,655,400 Cost incurred during the year Estimated costs to complete as of year-end Billings during the year Cash collectiona during the year 5,314,000 5,705,000 Westgate recognizes revenue over time according to percentage of completion. 5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Loss amounts should be indicated with a minus sign.) 2022 $3,895,000 4,290,000 2021 2023 Costs ineurred during the year Estimated conta to complete as of year-end $2,059, 000 5,041,000 $4,185,000 2021 2022 2023 Revenue Gross profit (loss)
displayed below.) In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2023. Information related to the contract is as follows: 2021 $2,059,000 5,041,000 2,190,000 1,895,000 2022 $2,627,000 2,414,000 2,496,000 2,400,000 2023 $2,655,400 Cost incurred during the year Estimated costs to complete as of year-end Billings during the year Cash collectiona during the year 5,314,000 5,705,000 Westgate recognizes revenue over time according to percentage of completion. 5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Loss amounts should be indicated with a minus sign.) 2022 $3,895,000 4,290,000 2021 2023 Costs ineurred during the year Estimated conta to complete as of year-end $2,059, 000 5,041,000 $4,185,000 2021 2022 2023 Revenue Gross profit (loss)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
1
![Required information
(The following information applies to the questions displayed below.]
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for
$10,000,000. The road was completed in 2023. Information related to the contract is as follows:
2022
$2,059,000 $2,627,000 $2,655,400
2,414,000
2,496,000
2,400,000
2021
Cost incurred during the year
Estimated costs to complete as of year-end
Billings during the year
Cash collections during the year
2023
5,041,000
2,190,000
1,895,000
5,314,000
5,705.000
Westgate recognizes revenue over time according to percentage of completion.
5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs
incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest
whole dollar amount. Loss amounts should be indicated with a minus sign.)
2021
$2,059,000
5,041,000
2023
14,185,000
2022
Costs incurred during the year
Estimated costs to complete as of year-end
$3,895,000
4,290,000
2021
2022
2023
Revenue
Gross profit (loss)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F17507b83-a2ea-4441-8ada-06ec925424e7%2F1f488473-8b6d-4abb-87aa-55d900900e7a%2Fu52q28h_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
(The following information applies to the questions displayed below.]
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for
$10,000,000. The road was completed in 2023. Information related to the contract is as follows:
2022
$2,059,000 $2,627,000 $2,655,400
2,414,000
2,496,000
2,400,000
2021
Cost incurred during the year
Estimated costs to complete as of year-end
Billings during the year
Cash collections during the year
2023
5,041,000
2,190,000
1,895,000
5,314,000
5,705.000
Westgate recognizes revenue over time according to percentage of completion.
5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs
incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest
whole dollar amount. Loss amounts should be indicated with a minus sign.)
2021
$2,059,000
5,041,000
2023
14,185,000
2022
Costs incurred during the year
Estimated costs to complete as of year-end
$3,895,000
4,290,000
2021
2022
2023
Revenue
Gross profit (loss)
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