JRE2 Incorporated entered into a contract to install a pipeline for a fixed price of $2,275,000. JRE 2 recognizes revenue upon contract completion. Cost incurred Estimated Cost to Complete 2023 S 260,000 $ 1,600,000 2024 1,650,000 550, 000 2025 500,000 0 In 2024, JRE2 would report gross profit (loss) of: Multiple Choice $(320,000). S(235,000). S(185,000). So.

JRE2 Incorporated entered into a contract to install a pipeline for a fixed price of $2,275,000. JRE 2 recognizes revenue upon contract completion. Cost incurred Estimated Cost to Complete 2023 S 260,000 $ 1,600,000 2024 1,650,000 550, 000 2025 500,000 0 In 2024, JRE2 would report gross profit (loss) of: Multiple Choice $(320,000). S(235,000). S(185,000). So.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

9 Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,750,000. The project was begun in 2023 and completed in 2024. Cost and other data are presented below 2023 2024 cost incurred during the year 469,000 $ 1,050,000 estimated cost to complete 871,000 $ billings during the year 480,000 $ 1,270,000 cash collections during the year 380,000 $ 1,370,000 Year General Journal Debit Credit Assume that Beavis recognizes revenue on this contract over time according to percentage of completion Required: a. 2023 a. b. Record the entry for costs incurred during the year 2023. Record the entry for billings during the year 2023. b. 2023 c. d. e. f. g. Record the entry for cash collections during the year 2023. Record the entry for revenue from long-term contracts. Record the entry for costs incurred during the year 2024 Record the entry for billings during the year 2024 Record the entry for cash collections during the year 2024 C. 2023 d. 2023 e.…
i need the answer quickly
Please as soon as possible
Exercise 6-23 (Algo) Income (loss) recognition; Long-term contract; revenue recognition over time vs. upon project completion [LO6-9] Brady Construction Company contracted to build an apartment complex for a price of $6,500,000. Construction began in 2024 and was completed in 2026. The following is a series of independent situations, numbered 1 through 6, involving differing costs for the project. All costs are stated in thousands of dollars. Situation HNm tin v 2 3 4 5 6 Costs Incurred during Year 2024 2025 2026 $ 1,350 $ 1,650 $ 2,580 1,650 3,000 1,650 2,800 650 1,300 650 650 1,350 2,580 3,150 3,150 3,150 2,350 3,300 Estimated Costs to Complete (As of the End of the Year) 2024 2026 2025 $ 1,350 3,000 2,700 950 $ 3,930 3,930 3,930 4,550 4,550 6,055 2,700 3,050 Required: Complete the following table. Note: Do not round intermediate calculations. Enter your answers in whole dollars and not in thousands of dollars (i.e., $400 thousand should be entered as $400,000). Round your final…
After paying GH¢ 30,000 for an initial investigation on projects assessments, the finance department of Finger Foods Plc provided the following end-of-year cash flows for the investment projects. Project Initial T0 Outlay ¢000 T1 ¢000 T2 ¢000 T3 ¢000 T4 ¢000 Abo (A) (1,500) (500) 1,200 600 300 Baa (B) (2,000) (1,000) 2,500 2,500 2,500 Cal (C) (1,750) 500 1,100 1,400 1,000 Dok (D) (2,500) 700 900 1,300 300 Eak (E) (1,600) (500) 200 2,800 2,300 You have just been promoted from the position of a Finance Officer to the new rank of A financial Analyst after your MBA programme. As a result, the managing director has written a memorandum to you with the cash flows from the various projects, as shown above, to appraise the projects and advise management on the best decision the company can take to maximize the company's value. The company's cost of capital is 15% and its corporation tax is 30%.…
Crane Corp. incurred the following costs during 2023 in connection with its research and development phase activities: Cost of equipment acquired for use in research and development projects over the next 5 years (straight-line depreciation used) Materials consumed in research projects Materials consumed in the development of a product committed for manufacturing in the first quarter of 2024 Consulting fees paid in the last quarter of 2023 to outsiders for research and development projects, including $4,800 for advice relate Personnel costs for research and development projects Indirect costs reasonably allocated to research and development projects General borrowing costs on the company's line of credit Training costs for a new customer service software program (a) Calculate the amount to be reported as research and development expense by Crane on its income statement for 2023. Assume the equipment is purchased at the beginning of the year. Assume the company follows IFRS for…
D3. Account
Qw.18.
i need the answer quickly
Please do not give solution in image format thanku
PT Superstar has entered into a contract beginning January 31, 2021, to build a sport center. The feasibility study shows that the sport center will cost Rp6 billion and will be finished on December 31, 2024. The center will be billed to the local government at Rp10 billion. The following data (in billion rupiah) pertain to the construction period. 2022 2023 2024 Cost to date 2.7 4.5 6.5 Estimated cost to 3.3 1.5 complete Progress billings to date 2.7 9 Cash collected to date 2.4 5.5 Instructions Do the following tasks by applying the percentage-of-completion method. a. prepare any journal entry related during each year of the construction period. b. prepare partial Statement of Financial Position and Income Statement related to the construction in 2022 - 2024 6.
Question #1: Limits Incorporated Limits Incorporated [LI] had the following events occur during 2023: On March 1, 2023, LI signed a contract with a customer AIG Limited to manufacture specialized lawn equipment. The contract was signed for $500,000 and AIG paid $150,000 to LI on the date of the signing. Manufacturing and delivery to AIG is expected to begin in October. On July 2nd, LI sold $200,000 of lawn equipment to PMG for $320,000 cash. The lawn equipment comes with a one-year warranty. Based on history, warranty is expected to average 2% of the selling price of lawn equipment. On November 3rd, LI delivered $75,000 of lawn equipment to AIG. The cost of the equipment manufactured was $38,000. The lawn equipment carries the same warranty as all other lawn equipment. On December 15th some lawn equipment was returned for repair. The parts needed for repair amounted to $1,200, with $200 of labour being utilized to make the repairs. . . Required: Prepare journal entries for ALL the…