Use the Following Information for Questions

question 61

Multiple Choice

Use the following information for questions.
In 2012, Fargo Corporation began construction work under a three-year contract.The contract price is $2,400,000.Fargo uses the percentage-of-completion method for financial accounting purposes.The income to be recognized each year is based on the proportion of costs incurred to total estimated costs for completing the contract.The financial statement presentations relating to this contract at December 31, 2012, follow:

-How much cash was collected in 2012 on this contract?

• A)$100,000
• B)$140,000
• C)$20,000
• D)$240,000

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Definitions:

Chromium

A chemical element with symbol Cr and atomic number 24, known for its role in glucose metabolism and its potential effects on insulin sensitivity.

Grammar

Grammar is the set of rules that govern the structure of sentences in a language, including syntax, morphology, and punctuation.

Deep Structure

In linguistics, the underlying meaning or abstract representation of a sentence, as distinguished from its surface structure, or the way it is expressed.

Vocabulary Acquisition

The process of learning and assimilating new words and terms, thus expanding one’s ability to understand and communicate effectively.