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On February 1, 2020, Swifty Contractors agreed to construct a building at a contract price of $5,710,000. Swifty estimated total construction costs would be $3,928,000
On February 1, 2020, Swifty Contractors agreed to construct a building at a contract price of $5,710,000. Swifty estimated total construction costs would be $3,928,000 and the project would be finished in 2022. Information relating to the costs and billings for this contract is as follows: 2020 2022 Total costs incurred to date Estimated costs to complete Customer billings to date Collections to date $1,473,000 2,455,000 2,110,000 2021 $2,586,000 1,724,000 3,928,000 3,410,000 $4,555,000 -0 5,510,000 5,410,000 1,910,000 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 2020, 2021, and 2022. Percentage-of-Completion Gross Profit Completed-Contract Gross Profit 2020 $ 668250 2020 $ 0 2021 $ 171750 2021 $ 0 2022 $ 315000 2022 $ 1155000
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