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Pharoah Construction entered into a contract to construct a bridge for a contract price of $2.85 million. Construction began in 2019 and was completed in
Pharoah Construction entered into a contract to construct a bridge for a contract price of $2.85 million. Construction began in 2019 and was completed in 2021. Below are the details of the transactions related to the contract:
2019 | 2020 | 2021 | ||||
Costs incurred during the year | $657,000 | $816,000 | $723,900 | |||
Estimated costs to complete | 1,624,250 | 527,000 | 0 |
Calculate the revenue, expenses and gross profit to be recognized each year using the percentage-of-completion method. (Round the percentage completion to 2 decimal places, e.g. 52.75% and other answers to 0 decimal places, e.g. 1,525.)
2019 | 2020 | 2021 | ||||
Revenue | $ | $ | $ | |||
Expenses | ||||||
Gross Profit | $ | $ | $ |
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