Reference no: EM131119745
Long-Term Contract with an Overall Loss On July 1, 2010, Torvill Construction Company Inc. contracted to build an office building for Gumbel Corp. for a total contract price of $1,900,000. On July 1, Torvill estimated that it would take between 2 and 3 years to complete the building. On December 31, 2012, the building was deemed substantially completed. Following are accumulated contract costs incurred, estimated costs to complete the contract, and accumulated billings to Gumbel for 2010, 2011, and 2012.
Instructions
(a) Using the percentage-of-completion method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2010, 2011, and 2012. (Ignore income taxes.)
(b) Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2010, 2011, and 2012. (Ignore income taxes.)
Compute the realized gross profit for each of the years
: Prepare in journal form all entries required in 2012, applying the installment-sales method of accounting. (Ignore interest charges.)
|
Identified the two mutually exclusive projects
: Garage, Inc., has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 –$ 28,900 –$ 28,900 1 14,300 4,250 2 12,200 9,750 3 9,150 15,100 4 5,050 16,700 a-1 What is the IRR for each of these projects? what is th..
|
Should you honor the family''s request
: A young accident victim has been in a persistent vegetative state for several months and family members have insisted that "everything possible" be done to keep the patient alive. Should you honor the family's request
|
Complete the projected balance sheet for tarheel upholste
: All calculations assume a 365-day year. In your computations, you should round all numbers to the nearest $1,000. Based upon the industry average financial ratios presented here, complete the projected balance sheet for Tarheel's upholstery subsidi..
|
Long term contract with an overall loss on 1 july 2010
: Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2010, 2011, and 2012. (Ignore income taxes.)
|
Creating butterfly spread using call options
: Suppose you are creating a butterfly spread using call options with 3 different strike prices. Currently, the call price with strike price of $40 is $22.21, the call with strike price of $50 is $11.62, and the call with strike price of $60 is $5.25. ..
|
Should morley be forced into treatment against his will
: Morley is a 33-year-old man with multi-drug resistant tuberculosis. He is homeless, and has a pattern of missing many of his scheduled clinic visits. Should Morley be forced into treatment against his will
|
Variety of investment alternatives
: Use this information to answer the following 2 related questions: Rob is a financial manager with Sharez, an investment advisory company. He must select specific investments—for example, stocks and bonds—from a variety of investment alternatives. Wha..
|
Define social process theories
: Define social process theories. Which learning theory is the most beneficial in the study of individuals who commit cybercrimes, and why?
|