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On December 31, 2018, Mass Construction Inc. signs a contract with the state of Massachusetts Department of Transportation to manufacture a bridge over the Merrimack.
On December 31, 2018, Mass Construction Inc. signs a contract with the state of Massachusetts Department of Transportation to manufacture a bridge over the Merrimack. Mass Construction anticipates the construction will take three years. The company's accountants provide the following contract details relating to the project: Contract price Estimated construction costs Estimated total profit $500 million $300 million $200 million During the three-year construction period, Tri-State incurred costs as follows: 2019 $ 90 million 2020 $90 million 2021 $120 million Tri-State uses the percentage of completion method to recognize PROFITS. Which of the following represent the revenue recognized in 2019, 2020, and 2021? $150 million, $ 150 million, $200 million A. $150 million, $200 million, $150 million B. $60 million, $80 million, $60 million C. $60 million, $60 million, $80 million D None of the above E. O
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