Bella Construction Co. uses the percentage-of-completion method. In 20x1, Bella began work on a contract for $2477005; it was completed in 20x2. The following cost data pertain to this contract:

	Year ended December 31
	20x1	20x2
Costs incurred during the year	869041	559369
Estimated costs to complete at the of year	494825	--
The amount of gross profit to be recognized on the income statement for the year ended December 31, 20x2 is:

Select one:

a. 553770

b. 339315

c. 1048595

d. 1113139

On December 31, 20x5, you enter into a three year contract to build an office building for $21039442.03. At the end of 20x6, you incurred $5661055.10 of costs and expect to incur an additional $7724664.16 to complete the contract. How much revenue will you realize on this contract in 20x6?

Select one:

a. $15418850.34

b. $3236893.40

c. $8897948.50

d. $7653722.77

On December 31, 20x5, you enter into a three year contract to build an office building for $22871774. At the end of 20x6, you incurred $5926021 of costs and expect to incur an additional $6830486 to complete the contract. How much profit will you realize on this contract in 20x6?

Select one:

a. 3371756

b. 10115267

c. 5416231

d. 4699036

Orr Co. prepared an aging of its accounts receivable at December 31, 20x5, and determined that the net realizable value of the receivables was $254937. Additional information is available as follows:

Allowance for uncollectible accounts at Jan 1, 20x5 credit balance	$27104
Accounts written off as uncollectible during 20x5	23469
Accounts receivable at December 31, 20x5	284766
Uncollectible accounts recovery during 20x5	4468
For the year ended December 31, 20x5, Orr's bad debt expense would be

Select one:

a. 23469

b. 26194.00

c. 21726.00

d. 29829.00