The Percentage-Of-Completion Method Is Preferable to the Completed Contract Method

question 86

Multiple Choice

The percentage-of-completion method is preferable to the completed contract method and should only be avoided if:

• A)Completion rates are certain.
• B)Profits are low.
• C)Projects are more than five years to completion.
• D)There is a lack of dependable estimates or inherent hazards cause forecasts to be doubtful.

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Definitions:

Outsourced Training

The practice of seeking external providers to design, conduct, or manage training programs for a company.

Service Department

A service department is a division within a company that focuses on providing after-sales services and support to customers.

Cost Centers

Parts of an organization that do not produce direct profit but do incur costs, such as customer service and research departments.

Quality Control

The process of ensuring products and services meet customer expectations and regulatory standards consistently.