Citation Builders, Inc., builds office buildings and single-family homes. The office buildings are constructed under contract with reputable buyers. The homes are constructed in developments ranging from 10-20 homes and are typically sold during constr or soon after. To secure the home upon completion, buyers must pay a deposit of 10% of the price of the home with the remaini balance due upon completion of the house and transfer of title. Failure to pay the full amount results in forfeiture of the down pa Occasionally, homes remain unsold for as long as three months after construction. In these situations, sales price reductions are to promote the sale. During 2021, Citation began construction of an office building for Altamont Corporation. The total contract price is $18 million. Co incurred, estimated costs to complete at year-end, billings, and cash collections for the life of the contract are as follows: 2022 $8,550,000 2021 $ 3,600,000 10,800,000 1,800,000 4,050,000 1,620,000 Costs incurred during the year Estimated costs to complete as of year-end Billings during the year Cash collections during the year Also during 2021, Citation began a development consisting of 12 identical homes. Citation estimated that each home will sell for $780,000, but individual sales prices are negotiated with buyers. Deposits were received for eight of the homes, three of which we completed during 2021 and paid for in full for $780,000 each by the buyers. The completed homes cost $585,000 each to construc The construction costs incurred during 2021 for the nine uncompleted homes totaled $3,510,000. Q Search Required: 1. Which method is most equivalent to recognizing revenue at the point of delivery? 2. Answer the following questions assuming that Citation concludes it does not qualify for revenue recognition over time for its office building contracts: 2-a. How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? ups W

cash in the balance sheet)? Complete this question by entering your answers in the tabs below. Assume the same information for 2021 and 2022, but that as of year-end 2022 the estimated cost to complete the office building is $8,100,000. Citation recognizes revenue over time according to percentage of completion for its office building contracts. How much revenue related to this contract will Citation report in the 2022 income statement? What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022? (Loss amounts should be indicated with a minus sign.) 3-b. What is the amount of gross protit or loss to be recognized for the Altamont contract during 01 and 2022 ! 3-c. What will Citation report in its December 31, 2021, balance sheet related to this contract? (Ignore cash) 4. Assume the same information for 2021 and 2022, but that as of year-end 2022 the estimated cost to complete the office build $8,100,000. Citation recognizes revenue over time according to percentage of completion for its office building contracts. 4-a. How much revenue related to this contract will Citation report in the 2022 income statement? 4b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022 ? 4-c. What will Citation report in its 2022 balance sheet related to this contract? (Ignore cash.) 5. Which method of accounting should Citation Builders, Inc adopt for its single-family houses? 6. What will Citation report in its 2021 income statement and 2021 balance sheet related to the single-family home business (igno cash in the balance sheet)? Complete this question by entering your answers in the tabs below. What will Citation report in its December 31, 2021, balance sheet related to this contract? (Ignore cash.) Complete this question by entering your answers in the tabs below. What will Citation report in its 2021 balance sheet related to the single-family home business (ignore cash in the balance sheet)? cash in the balance sheet)? Complete this question by entering your answers in the tabs below. Which method is most equivalent to recognizing revenue at the point of delivery? Answer the following questions assuming that Citation concludes it does not qualify for revenue recognition over time for its office building contracts: How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022? (Leave no cells blank - be certain to enter " 0 " wherever required. Loss amounts should be indicated with a minus sign.) 3-b. What is the amount of gross profit or loss to be recognized tor the Altamont controct during 01 and 202 ' 3-c. What will Citation report in its December 31,2021 , balance sheet related to this contract? (Ignore cash) 4. Assume the same information for 2021 and 2022 , but that as of year-end 2022 the estimated cost to complete the office building is $8,100,000. Citation recognizes revenue over time according to percentage of completion for its office building contracts. 4-a. How much revenue related to this contract will Citation report in the 2022 income statement? 4-b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022? 4-c. What will Citation report in its 2022 balance sheet related to this contract? (Ignore cash.) 5. Which method of accounting should Citation Builders, Inc adopt for its single-family houses? 6. What will Citation report in its 2021 income statement and 2021 balance sheet related to the single-family home business (ignore cash in the balance sheet)? Complete this question by entering your answers in the tabs below. What will Citation report in its December 31,2021 , balance sheet related to this contract? (Ignore cash.) Complete this question by entering your answers in the tabs below. What will Citation report in its 2022 balance sheet related to this C.ntract? (Ignore cash.) Crtation Builders, Inc, builds office buildings and single-family homes. The office buidings are constructed under contract with reputable buyers. The homes are constructed in developments ranging from 10-20 homes and are typically sold during construction or soon after. To secure the home upon completion, buyers must pay a deposit of 10% of the price of the home with the remaining balance due upon completion of the house and transfer of title. Failure to pay the full amount results in forfeiture of the down payment Occasionally, homes remain unsold for as long as three months after construction in these situations, sales price reductions are used to promote the sale. During 2021, Citation began construction of an office bullding for Altamont Corporation. The total contract price is $18 million. Costs Also during 2021, Citation began a development consisting of 12 identical homes. Citation estimated that each home will sell for $780,000, but individual sales prices are negotiated with buyers. Deposits were recelved for eight of the homes, three of which were completed during 2021 and paid for in full for $780,000 each by the buyers. The completed homes cost $585.000 each to construct The construction costs incurred during 2021 for the nine uncompleted homes totaled $3,510,000 Required: 1. Which method is most equivalent to recognizing revenue ot the point of delivery? 2. Answer the following questions assuming that Citation concludes it does not qualify for revenue recognition over time for its office buliding controcts 2-a. How much revenue related to this contract will Citation teport in its 2021 and 2022 income statements? 2-b. Whot is the amount of gross profit or loss to be recognized for the Altamont controct during 2021 and 2022 ? 2-c. What will Citotion report in its December 31,2021 , balance sheet related to this contract? (ggnore cash) 3. Answer the following questions assuming that Citation recognizes revenue over time according to percentage of completion for its office buliding contracts. 3-a. How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? 3-b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022 ? 3-c. What will Citation report in its December 31, 2021, balance sheet related to this contract? (jonore cash) 4. Assume the same information for 2021 and 2022, but that as of year-end 2022 the estimated cost to complete the office building is $8,100,000. Citation recognizes revenue over time according to percentage of completion for its office buliding contracts. 4-a. How much revenue related to this contract wil citation report in the 2022 income statement? 4-b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022 ? 4 -c. What will Citetion report in its 2022 balance sheet related to this contract? (lgnore cash) 5. Which method of accounting should Citation Builders, Inc adopt for its single-family houses? itation Builders, Inc., builds office buildings and single-family homes. The office bulidings are constructed under contract with eputable buyers. The homes are constructed in developments ranging from 10-20 homes and are typically sold during constr or soon after. To secure the home upon completion, buyers must pay a deposit of 10% of the price of the home with the remaini salance due upon completion of the house and transfer of title. Failure to pay the full amount results in forfeiture of the down pa Occasionally, homes remain unsold for as long as three months after construction. In these situations, sales price reductions are to promote the sale. During 2021, Citation began construction of an office bullding for Altamont Corporation. The total contract price is $18 million. Co incurred, estimated costs to complete at year-end, billings, and cash collections for the life of the contract are as follows: Also during 2021, Citation began a development consisting of 12 identical homes. Citation estimated that each home will sell for $780,000, but individual sales prices are negotiated with buyers. Deposits were received for eight of the homes, three of which we completed during 2021 and paid for in full for $780,000 each by the buyers. The completed homes cost $585,000 each to construe The construction costs incurred during 2021 for the nine uncompleted homes totaled $3,510,000. Required: 1. Which method is most equivalent to recognizing revenue at the point of delivery? 2. Answer the following questions assuming that Citation concludes it does not qualify for revenue recognition over time for its office bulling controcts: 2-a. How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? 2 .b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022 ? 2-c. What will Citation report in its December 31, 2021, balance sheet related to this contract? (Ignore cash.) 3. Answer the following questions assuming that Citation recognizes revenue over time according to percentage of completion for its office buliding controcts. 3-a. How much revenue related to this contract will Citation report in its 2021 and 2022 income statemente? 3b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022 ? 3-c. Whot will Citation report in its December 31, 2021, balance sheet related to this contract? (Ignore cash) 4. Assume the same information for 2021 and 2022, but that as of year-end 2022 the estimated cost to complete the office building is $8100,000. Citation recognizes revenue over time according to percentage of completion for its office buliding contracts 4-a. How much revenue related to this contract will Citation report in the 2022 income statement? 4b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022? 4c. What will Citotion report in its 2022 balance sheet related to this contract? (Ignore cash) 5 . Which method of eccounting should Citation Builders, inc adopt for its single-family houses? 6. Which method of accounting should Citation Builiders, Inc adopt for its single-family houses? 6. What will Citation report in its 2021 income statement and 2021 balarice sheet related to the single-family home business (ignore cash in the balance sheet)? Complete this question by entering your answers in the tabs below. What, will Citation report in its 2021 income statement related to the single-family home business (ignore cash in the balance sheet)? office buliding contracts. 3-a. How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? 3-b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022 ? 3-c. What will Citation report in its December 31, 2021, balance sheet related to this contract? (Ignore cash.) 4. Assume the same information for 2021 and 2022 , but that as of year-end 2022 the estimated cost to complete the office $8,100,000. Citation recognizes revenue over time according to percentage of completion for its office buliding contracts 4 -a. How much revenue related to this contract will Citation report in the 2022 income statement? 4-b. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2022 ? 4-c. What will Citation report in its 2022 balance sheet related to this contract? (Ignore cash.) 5. Which method of accounting should Citation Builders, inc adopt for its single-family houses? 6. What will Citation report in its 2021 income statement and 2021 balance sheet related to the single-family home business cash in the balance sheet)? Complete this question by entering your answers in the tabs below. Answer the following questions assuming that Citation recognizes revenue over time according to percentage of completion for its office building contracts. How much revenue related to this contract will Citation report in its 2021 and 2022 income statements? What is the amount of gross profit or loss to be recognized for the Altamont contract during 2021 and 2022? (Loss amounts should be indicated with a minus sign.)