Reference no: EM131212896
Dalton Construction Company contracted to build a bridge for $8,000,000. Construction began in 2014 and was completed in 2015. Data related to the construction are:
2014 2015
Costs incurred during the year $2,640,000 $2,200,000
Estimated costs to complete 2,160,000 0
Dalton uses the percentage of completion method of accounting.
Answer the following questions WITH SUPPORTING COMPUTATIONS:
How much revenue should be reported in 2014?
Make the entry to record progress billings of $3,300,000 during 2014.
Make the entry to record revenue, expense and gross profit for 2014.
How much gross profit should be reported for 2015?
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: Dalton Construction Company contracted to build a bridge for $8,000,000. Construction began in 2014 and was completed in 2015. Data related to the construction are: How much gross profit should be reported for 2015?
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