Percentage-Of-Completion and Completed-Contract Methods on February 1, 2014, Owl Contractors

question 448

Essay

Percentage-of-completion and completed-contract methods On February 1, 2014, Owl Contractors agreed to construct a building at a total contract price of $3,000,000.Owl estimated total construction costs would be $2,000,000 and the project would be finished in 2016.Information relating to the costs and billings for this contract is as follows: Instructions Using the percentage-of-completion the completed-contract methods, calculate the gross profit that should be reported for 2014, 2015, and 2016.Fill in the correct amounts on the following schedule:

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Definitions:

Single-Parent Families

Family units consisting of one parent and his or her children, which may result from divorce, separation, death of a spouse, or unmarried parenthood.

Poverty Level

A defined threshold that determines the minimum income requirement for individuals and families to afford basic living expenses, used to identify and measure individuals' and households’ economic status.

Demarcation Lines

Boundaries that distinguish or separate different areas, responsibilities, or categories in various contexts.

Boundaries

In psychological and social contexts, boundaries define the limits and rules for acceptable behavior, communication, and interactions among individuals or groups.