Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

CUM TAN TOgress nferences MeyPLUS Support On July 1, 2020, Skysong Construction Company Inc. contracted to build an office building for Gumbel Corp. for a

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
CUM TAN TOgress nferences MeyPLUS Support On July 1, 2020, Skysong Construction Company Inc. contracted to build an office building for Gumbel Corp. for a total contract price of $1.920,000. On July 1, Skysong estimated that it would take between 2 and 3 years to complete the building. On December 31, 2022, the building was deemed substantially completed. Following are accumulated contract costs incurred estimated costs to complete the contract, and accumulated billings to Gumbel for 2020 2021, and 2022. At At At 12/31/20 12/31/21 12/31/22 Contract costs incurred to date $273,600 $1,171,600 $2,127,600 Estimated costs to complete the contract 1.246,400 848,400 -0- Billings to Gumbel 300,000 1,090,000 1,870. (a) Using the percentage-of-completion method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (if answer is , please enter 0. Do not leave any field blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g. -45 or parenthesis e.g. (45) 2020 2021 2022 2022 (b) Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020 2021, and 2022. (Ignore income taxes.) (If answer is 0, please enter 0. Do not leave any fields blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g.-45 or parenthesis es. (451) 2021 (b) Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (If answer is 0. please enter 0. Do not leave any fields blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number eg. -45 or parenthesis e..(45).) 2021 2022 e Textbook and Media List of Accounts Save for Later

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing At The Speed Of Risk With An Agile Continuous Audit Plan

Authors: Norman Marks

1st Edition

B09PMBSWSC, 979-8787044393

More Books

Students also viewed these Accounting questions