Engr. Alcayde presented the following information regarding his road construction project which is 50% completed at the end of this year and was 30% completed at end of last year: Contract price Total estimated cost to complete Cost incurred previous year Cost incurred this year P50,000,000 30,000,000 10,000,000 9,000,000 How much income is to be reported this year? P1,000,000 P5,000,000 P6,000,000 P10,000,000
Engr. Alcayde presented the following information regarding his road construction project which is 50% completed at the end of this year and was 30% completed at end of last year: Contract price Total estimated cost to complete Cost incurred previous year Cost incurred this year P50,000,000 30,000,000 10,000,000 9,000,000 How much income is to be reported this year? P1,000,000 P5,000,000 P6,000,000 P10,000,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Engr. Alcayde presented the following information
regarding his road construction project which is 50%
completed at the end of this year and was 30% completed
at end of last year:
Contract price
Total estimated cost to complete
Cost incurred previous year
Cost incurred this year
P50,000,000
30,000,000
10,000,000
9,000,000
How much income is to be reported this year?
P1,000,000
P5,000,000
P6,000,000
P10,000,000
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