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On February 1, 2017, Marsh Contractors agreed to construct a building at a contract price of $5,770,000. Marsh estimated total construction costs would be $3,976,000
On February 1, 2017, Marsh Contractors agreed to construct a building at a contract price of $5,770,000. Marsh estimated total construction costs would be $3,976,000 and the project would be finished in 2019. Information relating to the costs and billings for this contract is as follows:
2017 | 2018 | 2019 | ||||
Total costs incurred to date | $1,491,000 | $2,622,000 | $4,585,000 | |||
Estimated costs to complete | 2,485,000 | 1,748,000 | -0- | |||
Customer billings to date | 2,170,000 | 3,976,000 | 5,570,000 | |||
Collections to date | 1,970,000 | 3,470,000 | 5,470,000 |
Fill in the correct amounts on the following schedule. For percentage-of-completion accounting and for completed-contract accounting, show the gross profit that should be recorded for 2017, 2018, and 2019.
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