At the End of Year 2, the Accounting Records for a Multi-Year

question 81

Multiple Choice

At the end of year 2, the accounting records for a multi-year construction project indicate actual costs incurred to date of $ 3,200,000, and the most recent estimate of total costs of $ 9,500,000. Assuming the percentage-of completion method is used, to one decimal, at the end of year 2 the project is

• A) 33.7% complete.
• B) 31.2% complete.
• C) 26.1% complete.
• D) 25.2% complete.

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Definitions:

Acceptance

An agreement to the terms of an offer, contract, or proposal, legally binding the parties.

Electronic Communication

The transmission of information using electronic systems or devices, including emails, instant messaging, and social media platforms.

Traditional Mail

A method of communication where physical items (such as letters and packages) are delivered through a postal system.

Minerals

Naturally occurring inorganic substances with a definite chemical composition and physical properties.