During 2025, Ivanhoe Company started a construction job with a contract price of $1,610,000. The job was completed in 2027. The following information is available. Costs incurred to date Estimated costs to complete Billings to date. Collections to date 2025 $366,300 623,700 300,000 271,000 2026 $772,100 330,900 909,000 807,000 2027 $1,063,000 -0- 1,610,000 1,424,000
During 2025, Ivanhoe Company started a construction job with a contract price of $1,610,000. The job was completed in 2027. The following information is available. Costs incurred to date Estimated costs to complete Billings to date. Collections to date 2025 $366,300 623,700 300,000 271,000 2026 $772,100 330,900 909,000 807,000 2027 $1,063,000 -0- 1,610,000 1,424,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![During 2025, Ivanhoe Company started a construction job with a contract price of $1,610,000. The job was completed in 2027. The
following information is available.
Costs incurred to date
Estimated costs to complete
Billings to date
Collections to date
2025
$366,300
623,700
300,000
271,000
2026
$772,100
330,900
909,000
807,000
2027
$1,063,000
-0-
1,610,000
1,424,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc0faac21-8e4b-472a-8b71-f3bc1373ed97%2Fb4a0c60f-bfa4-4749-8c53-60b9df4f5186%2F3sol16i_processed.jpeg&w=3840&q=75)
Transcribed Image Text:During 2025, Ivanhoe Company started a construction job with a contract price of $1,610,000. The job was completed in 2027. The
following information is available.
Costs incurred to date
Estimated costs to complete
Billings to date
Collections to date
2025
$366,300
623,700
300,000
271,000
2026
$772,100
330,900
909,000
807,000
2027
$1,063,000
-0-
1,610,000
1,424,000
![ary journal entries for 2026. (Credit account titles are automatically indented when amount is entered. Do not indent
manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. For costs incurred use account
Materials, Cash, Payables. List all debit entries before credit entries.)
Account Titles and Explanation
Construction in Process
Materials, Cash, Payables
(To record cost of construction.)
Accounts Receivable.
Billings on Construction in Process
(To record progress billings.)
Accounts Receivable
Billings on Construction in Process
(To record collections.)
Construction Expenses
Construction in Process
Revenue from Long Term Contracts
(To recognize revenue.)
Debit
00:00
Credit
100 10 10 10](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc0faac21-8e4b-472a-8b71-f3bc1373ed97%2Fb4a0c60f-bfa4-4749-8c53-60b9df4f5186%2Fl3h7xan_processed.jpeg&w=3840&q=75)
Transcribed Image Text:ary journal entries for 2026. (Credit account titles are automatically indented when amount is entered. Do not indent
manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. For costs incurred use account
Materials, Cash, Payables. List all debit entries before credit entries.)
Account Titles and Explanation
Construction in Process
Materials, Cash, Payables
(To record cost of construction.)
Accounts Receivable.
Billings on Construction in Process
(To record progress billings.)
Accounts Receivable
Billings on Construction in Process
(To record collections.)
Construction Expenses
Construction in Process
Revenue from Long Term Contracts
(To recognize revenue.)
Debit
00:00
Credit
100 10 10 10
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