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During 2012, Nilsen Company started a construction job with a contract price of $1,662,000. The job was completed in 2014. The following information is available. 2012 2013 2014 Costs incurred to date $353,720 $872,000 $1,079,000 Estimated costs to complete 602,280 218,000 -0- Billings to date 313,500 876,100 1,662,000 Collections to date 247,000 805,100 1,420,000 (a) Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used. Gross profit recognized in 2012 $ Gross profit recognized in 2013 $ Gross profit recognized in 2014
stockholders of a business enterprise are said to be the residual owners. the term residual owner means that
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Suppose that a firm must choose between two mutually exclusive projects, both of which have negative NPVs. Explain how a firm can legitimately choose between two such projects.
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