Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. shumpert, inc., entered into a contract that was t

Shumpert, Inc., entered into a contract that was to take two years to complete, with...

70.2K

Verified Solution

Question

Accounting

Shumpert, Inc., entered into a contract that was to take two years to complete, with an estimated cost of $900,000. The contract price was $1,300,000. Costs of the contract for 2016, the first year, totaled $675,000.

a. What was the gross profit reported by the percentage of completion method for 2016?

b. After the contract was completed at the end of 2017 at a total cost of $950,000, what was the gross profit reported by the percentage of completion method for 2017?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Physics
1.2K views

The following questions about lasers: a. Mention and explain the characteristics of the laser beam that distinguishes...

Operations Management
1.2K views

Discuss potential risks that nonprofits may face which will impact their ability to carry out their...

Biology
1.2K views

The first vertebrates appear in the fossil record during the 1 Cambrian Period O2 Proterozoic...

Physics
1.2K views

E B C The electric field associated with an em wave in vacuum is given...

Basic Math
1.2K views

How much farther did Secretariat run in the Belmont Stakes than in the Preakness Stakes...

Basic Math
1.2K views

A student is taking a standardized test consisting of several multiple choice questions One point...

Basic Math
1.2K views

People who believe in biorhythms claim there are three cycles that rule our behavior -...

Basic Math
1.2K views

The population of rabbits on an island is growing exponentially. In the year 2001, the...

Statistics
1.2K views

Events A and B are mutually exclusive if they can not occur simultaneously This statement...

Algebra
1.2K views

Suppose 10 000 is invested at annual rate of 5 for 10 years Find the...

Accounting
1.2K views

Sunny Ltd acquired an item of plant on 1 January 2022 for $175 000. Depreciation...

Finance
1.2K views

Max is considering two projects both of which have an initial cost of $13,000 and...