Question
Stanford Company has contracted to build for the City of New London a new courthouse.The estimated cost of the project is $6,000,000, and the contract
Stanford Company has contracted to build for the City of New London a new courthouse.The estimated cost of the project is $6,000,000, and the contract price is $9,000,000.The courthouse took three years to complete:
2018 2019 2020
Costs to date $1,500,000 $4,000,000 $6,200,000
Cost to complete $4,500,000 $2,200,000 $0
Amounts billed to date$1,400,000 $5,800,000 $9,000,000
Amounts collected to date
$1,300,000 $4,300,000 $9,000,000
help me determine the gross profit to be recognized for
2018 2019 2020
show me how to record all journal entries necessary for 2018 below:
Dr. Cr.
Assume that Stanford uses the completed contract method. Help me determine the amount of revenue and expense to be recognized in:
2018 2019 2020
Revenue
Expense
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