On January 1, 20x7, CVM Co began constructing a P2,100,000 contract. The entity uses the percentage of completion method. For the year ended December 31, 20x7, the Company billed its client an additional 55% of the contract price. Data relating to the construction follows: 20x7 441,000 ? Construction in progress Estimated cost to complete Cost incurred Excess of construction in progress over billings How much is the estimated remaining cost in 20x7? 425,250 (84,000) 20x8 ? ? 20x9 ? 969,000 675,750 (330,750)

On January 1, 20x7, CVM Co began constructing a P2,100,000 contract. The entity uses the percentage of completion method. For the year ended December 31, 20x7, the Company billed its client an additional 55% of the contract price. Data relating to the construction follows: 20x7 441,000 ? Construction in progress Estimated cost to complete Cost incurred Excess of construction in progress over billings How much is the estimated remaining cost in 20x7? 425,250 (84,000) 20x8 ? ? 20x9 ? 969,000 675,750 (330,750)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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