Question
Johnson Construction sets up a contract with Julian Properties 7/1/2013. Johnson Construction will complete the project in a 18 months (see table for details). Johnson
Johnson Construction sets up a contract with Julian Properties 7/1/2013.
Johnson Construction will complete the project in a 18 months (see table for details).
Johnson Construction uses the %-age of completion method.
Calculate the amount Johnson should record for gross profit.
Please solve using Excel financial formulas wherever it applies and show work in Excel.
| Price of contract | $5,000,000 |
| Estimated cost to complete at 7/13/13 | $3,000,000 |
| Cost incurred on project 2013 | $1,250,000 |
| Estimated cost at 12/31/13 to complete | $1,700,000 |
| Amount billed to Johnson under contract | $1,000,000 |
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Construction Safety Auditing Made Easy A Checklist Approach To OSHA Compliance
Authors: Kathleen Hess-Kosa
2nd Edition
0865879796, 978-0865879799
