During 2020, Grouper Company started a construction job with a contract price of $1,610,000. The job was completed in 2022. The following information is available. 2020 2021 2022 Costs incurred to date $410,000 $754,800 $1,067,000 Estimated costs to complete 590,000 355,200 –0– Billings to date 297,000 899,000 1,610,000 Collections to date 272,000 818,000 1,437,000 (a) Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used. Gross profit recognized in 2020 $enter a dollar amount Gross profit recognized in 2021 $enter a dollar amount Gross profit recognized in 2022
During 2020, Grouper Company started a construction job with a contract price of $1,610,000. The job was completed in 2022. The following information is available. 2020 2021 2022 Costs incurred to date $410,000 $754,800 $1,067,000 Estimated costs to complete 590,000 355,200 –0– Billings to date 297,000 899,000 1,610,000 Collections to date 272,000 818,000 1,437,000 (a) Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used. Gross profit recognized in 2020 $enter a dollar amount Gross profit recognized in 2021 $enter a dollar amount Gross profit recognized in 2022
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter17: Advanced Issues In Revenue Recognition
Section: Chapter Questions
Problem 26E
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Question
During 2020, Grouper Company started a construction job with a contract price of $1,610,000. The job was completed in 2022. The following information is available.
2020
|
2021
|
2022
|
||||
---|---|---|---|---|---|---|
Costs incurred to date
|
$410,000 | $754,800 | $1,067,000 | |||
Estimated costs to complete
|
590,000 | 355,200 | –0– | |||
Billings to date
|
297,000 | 899,000 | 1,610,000 | |||
Collections to date
|
272,000 | 818,000 | 1,437,000 |
(a)
Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used.
Gross profit recognized in 2020
|
$enter a dollar amount
|
|
---|---|---|
Gross profit recognized in 2021
|
$enter a dollar amount
|
|
Gross profit recognized in 2022
|
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