Which of the following journal entries is not made in the first period of a long-term contract if the company cannot make reasonably dependable estimates of the progress toward satisfaction of the performance obligation? To record construction costs. To record partial billings. To record cash collections from the customer. To record gross profit.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Which of the following journal entries is not made in the first period of a long-term contract if the company cannot make reasonably dependable estimates of the progress toward satisfaction of the performance obligation?

  1. To record construction costs.
  2. To record partial billings.
  3. To record cash collections from the customer.
  4. To record gross profit.
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