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1. On December 31, 2017, State Construction Inc. signs a contract with the state of West Virgin ansportation to manufacture a bridge over the New
1. On December 31, 2017, State Construction Inc. signs a contract with the state of West Virgin ansportation to manufacture a bridge over the New River, State Construction anticipates the conSUGU W ee years. The company's accountants provide the following contract details relating to the project n the state of West Virginia Department of Contract price Estimated construction costs Estimated total profit $780 million $600 million $180 million During the three-year construction period, State Construction incurred costs as follows: 2018 2019 2020 $ 60 million $360 million $180 million State Construction uses the cost-to-cost method to recognize revenue. Which of the following represent the revenue recognized in 2018, 2019, and 2020? (show your work) A) $225 million, $300 million, $2550 million B) $60 million, $240 million, $120 million C) $33 million, $198 million, $99 million D) $78 million, $468 million, $234 million
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