Windsor Construction Company has entered into a contract beginning January to build a parking complex. It has been estimated that the complex will cost $ and will take years to construct. The complex will be billed to the purchasing company at $ The following data pertain to the construction period.
Costs to date $ $ $
Estimated costs to complete $ $ $
Progress billings to date $ $ $
Cash collected to date
a Using the percentageofcompletion method, compute the estimated gross profit that would be recognized during each year of the construction period.
Gross profit recognized in $
Gross profit recognized in $
Gross profit recognized in $
b Using the completedcontract method, compute the estimated gross profit that would be recognized during each year of the construction period.
Gross profit recognized in $
Gross profit recognized in $
Gross profit recognized in $
