Cost Estimates on a Long-Term Contract May Indicate That a Loss

question 34

Multiple Choice

Cost estimates on a long-term contract may indicate that a loss will result on completion of the entire contract.In this case, the entire expected loss should be

• A)recognized in the current period, regardless of whether the percentage-of-completion or completed-contract method is employed.
• B)recognized in the current period under the percentage-of-completion method, but the completed-contract method should defer recognition of the loss to the time when the contract is completed.
• C)recognized in the current period under the completed-contract method, but the percentage-of-completion method should defer the loss until the contract is completed.
• D)deferred and recognized when the contract is completed, regardless of whether the

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Definitions:

Homophobia

Prejudice or discrimination against individuals who are gay or perceived to be gay, often rooted in fear or misunderstanding.

Gender Role Development

The process by which individuals learn the behaviors, attitudes, and expectations associated with their gender through cultural, social, and environmental influences.

Theory

A system of ideas intended to explain something, based on general principles independent of the thing to be explained.

Primary Sex Characteristics

The physical features that are directly involved in human reproduction, including the organs of the reproductive system.