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A construction company entered into a fixed - price contract to build an office building for $ 1 0 million. Construction costs incurred during the

A construction company entered into a fixed-price contract to build an office building for $10 million. Construction costs incurred during the first year were $2 million, and estimated costs to complete at the end of the year were $3 million. The company recognizes revenue over time according to percentage of completion.
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