Nathan Construction Inc. has consistently used the percentage-of-completion method of recognizing income. In 2020, Nathan started work on a P6,750,000 fixed price construction contract. The accounting records disclosed the following data for the year ended December 31, 2020: P 2,092,500 4,882,500 2,475,000 1,575,000 Costs incurred Estimated cost to complete Progress billings Collections How much loss should Nathan have recognized in 2020?

Nathan Construction Inc. has consistently used the percentage-of-completion method of recognizing income. In 2020, Nathan started work on a P6,750,000 fixed price construction contract. The accounting records disclosed the following data for the year ended December 31, 2020: P 2,092,500 4,882,500 2,475,000 1,575,000 Costs incurred Estimated cost to complete Progress billings Collections How much loss should Nathan have recognized in 2020?

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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