Question
In 2024, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in
In 2024, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2026. Information related to the contract is as follows:
| 2024 | 2025 | 2026 | |
|---|---|---|---|
| Cost incurred during the year | $ 2,542,000 | $ 3,772,000 | $ 2,074,600 |
| Estimated costs to complete as of year-end | 5,658,000 | 1,886,000 | 0 |
| Billings during the year | 2,020,000 | 4,294,000 | 3,686,000 |
| Cash collections during the year | 1,810,000 | 3,800,000 | 4,390,000 |
2-a. In the journal below, complete the necessary journal entries for the year 2024 (credit Cash, Materials, etc. for construction costs incurred).
2-b. In the journal below, complete the necessary journal entries for the year 2025 (credit Cash, Materials, etc. for construction costs incurred).
2-c. In the journal below, complete the necessary journal entries for the year 2026 (credit Cash, Materials, etc. for construction costs incurred). 3. Complete the information required below to prepare a partial balance sheet for 2024 and 2025 showing any items related to the contract.
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Handbook Of Communication Audits For Organisations
Authors: Owen D.W. Hargie, Dennis Tourish
1st Edition
0415186420, 978-0415186421
