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Question - Upton Company uses the percentage-of-completion method to recognize revenue. In 2017, Upton started on a $20,000,000 construction contract that was completed in 2019. The following information was taken from Upton's 2017 accounting records:
Progress billing in 2017 $6,000,000
Costs incurred in 2017 $5,200,000
Cash collections in 2017 $4,800,000
Estimated future costs to complete $10,800,000
What amount of revenue should Upton recognize on the contract in 2017?
A. $6,500,000
B. $4,800,000
C. $5,600,000
D. $6,000,000
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