Reference no: EM132753550
The following data were taken from the files of LKLD Company:
December 31, 2020 December 31, 2021
Architect's total estimated cost of completion-----------------P7,500,000------------------P8,000,000
Cost incurred ------------------------------------------------------------------------------------------3,000,000
Percentage of completion --------------------------------------------?????------------------------------- 60%
Income recognized to date---------------------------------------------500,000--------------------1,200,000
Problem 1: The estimated gross profit from the contract is:
Option 1: P2,500,000
Option 2: P7,500,000
Option 3: P500,000
Option 4: P1,500,000