Reference no: EM13912684
In 2016, Long Construction Corporation began construction work under a three-year contract. The contract price is $2,100,000. Long recognizes revenue over time according to percentage of completion for financial reporting purposes. The financial statement presentation relating to this contract at December 31, 2016, is as follows:
Accounts receivable (from construction progress billings): $35,000
Construction in progess: $150,000
Less: Billings on construction contract: (143,000)
Cost and profit of uncompleted contracts in excess of billings: 7,000
Income (before tax) on the contract recognized in 2016: $25,000
Required:
1. What was the cost of construction actually incurred in 2016? $125,000
2. How much cash was collected in 2016 on this contract? $108,000
I know question one and two is correct. I'm having trouble figuring out questions three and four
3. What was the estimated cost to complete as of the end of 2016?
4. What was the estimated percentage of completion used to calculate revenue in 2016? (Do not round intermediate calculations. Round your percentage answer to 2 decimal places.
|
Determining the effects of air resistance
: A person throws a ball straight up. He releases the ball at a height of 1.75 m above the ground and with a velocity of 12.0 m/s. Ignore the effects of air resistance. (a) How long until the ball reaches its highest point? (b) How high above the gr..
|
|
Production benefit the company
: Five star tools produces products C210 and D400. Contribution margin per unit is $250 divided by .2 hrs to get $1250. D400 is $430 divided by .8hrs to get $5375. Why does the company perfer to produce the C210? And what would one additional hr of pro..
|
|
Complete proof that the graph bgais indeed a buffer graph
: Complete the proof that the graph BGa (defined in the proof of Theorem 5. 13) is indeed a buffer graph, i. e., for each path P E P there exists a guaranteed path with image P.
|
|
Draw a vector diagram
: A speedboat is towing a paraglider at a constant speed and height on the end of a light rope of length 30m, which makes an angle q with the horizontal. The forces acting on the paraglider are the vertical lift, L, the horizontal drag, D, his weigh..
|
|
Cost of construction incurred
: What was the cost of construction actually incurred in 2016? $125,000.How much cash was collected in 2016 on this contract? $108,000.I know question one and two is correct. I'm having trouble figuring out questions three and four
|
|
Production possibilities curve
: Using a production possibilities curve, explain (using narrative and graphs) the opportunity cost principle. Please provide a “real-world” example where this principle would be applied in the public/healthcare/nonprofit sector.
|
|
Building manufacturing plants
: Companies want to expand their business and improve their sales and profits. Instead of building manufacturing plants and installing new machineries, companies look to buy other companies and integrate them into their current business.They have $22 m..
|
|
Describe the interaction of the band members
: Who - names of the band members and the instruments they play. Include singers and where - describe the place and the audience. Include the audience behavior.
|
|
What step in the proof fails if messages can be duplicated
: Show that the relationship in Lemma 6. 19 also holds if mes sages can get lost in the channel pq, but not if messages can be duplicated. What step in the proof fails if messages can be duplicated?
|