Info
Warning
Danger
/ Homework Answers / Finance / Gleason Construction enters into a long-tern fixed price contract to

Question

Gleason Construction enters into a long-tern fixed price contract to build an office building for $20,000,000. In the first year of the contract Carney incurs $6,000,000 of cost and the engineers determined that the remaining costs to complete are $10,000,000. How much gross profit or loss should Gleason recognize in Year 1 assuming the use of the completed contract method? A. $-0- B. $375,000 profit C. $4,000,000 loss D. $$4,000,000 profit

Solution
5 (1 Ratings )

Solved
Finance 2 Weeks Ago 4 Views
This Question has Been Answered!
Premium Content -

Unlimited Access

Explore More than 2 Million+
  • Textbook Solutions
  • Flashcards
  • Homework Answers
  • Documents
Signup for Better Grades!

Ask an Expert

Our Experts can answer your tough homework and study questions
217143 Finance Questions Answered!
Post a Question