Beavis Construction Company Was the Low Bidder on a Construction

question 153

Essay

Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,800,000. The project was begun in 2017 and completed in 2018. Cost and other data are presented below:

-Assume that Beavis recognizes revenue upon completion of the project.
Required:
Prepare all journal entries to record costs, billings, collections, and profit recognition.

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Definitions:

Pectoral Girdles

The skeletal framework in the shoulders region that supports the arms, consisting of the clavicles and scapulae.

Posteriorly

Relating to or located toward the back of the body.

Ribs

The long curved bones which form the rib cage, providing protection to the thoracic cavity and its organs.

Distal End

The end of a limb or bone that is farthest from the center of the body or from the point of attachment.