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Rite Construction Company contracted to build a dam for the City of Fort Wayne on January 1, 2022. The contract price is $12,000,000 and Rite estmates costs to be $8,000,000. dam will take two years to complete and the following information is available on December 31 at the end of each year. Actual Costs to Date * Est. Costs to Complete Billings to Date Cash Collections to Date * 65% in cash, 35% from materials inventory Required: 2022 2023 $ 4,200,000 $ 8,300,000 4,000,000 6,000,000 12,000,000 5,500,000 11,250,000 (a) Record all relevant enries for 2023 under the percentage of completion method. In calculating gross profit, round percentages to the nearest hundredth. Your entries must be in good form (debited account(s) before credited account(s) with the credited accounts indented; ending zeroes align in both the debit and credit columns as shown in class, etc.) (b) Describe in one sentence how your answer to part (a) would differ under the completed contract method.

Rite Construction Company contracted to build a dam for the City of Fort Wayne on January 1 , 2022. The contract price is $12,000,000 and Rite estmates costs to be $8,000,000. dam will take two years to complete and the following information is available on December 31 at the end of each year. Actual Costs to Date * Est. Costs to Complete Billings to Date Cash Collections to Date - 65% in cash, 35% from materials inventory Required: (a) Record all relevant enries for 2023 under the percentage of completion method. In calculating gross profit, round percentages to the nearest hundredth. Your entries must be in good form (debited account(s) before credited account(s) with the credited accounts indented; ending zeroes align in both the debit and credit columns as shown in class, etc.) (b) Describe in one sentence how your answer to part (a) would differ under the completed contract method. Rite Construction Company contracted to build a dam for the City of Fort Wayne on January 1 , 2022. The contract price is $12,000,000 and Rite estmates costs to be $8,000,000. dam will take two years to complete and the following information is available on December 31 at the end of each year. Actual Costs to Date * Est. Costs to Complete Billings to Date Cash Collections to Date - 65% in cash, 35% from materials inventory Required: (a) Record all relevant enries for 2023 under the percentage of completion method. In calculating gross profit, round percentages to the nearest hundredth. Your entries must be in good form (debited account(s) before credited account(s) with the credited accounts indented; ending zeroes align in both the debit and credit columns as shown in class, etc.) (b) Describe in one sentence how your answer to part (a) would differ under the completed contract method

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