Revenue recognition on long-term construction projects, Biology

Assignment Help:

Q. Revenue Recognition on Long-term Construction Projects?

Revenue Recognition on Long-term Construction Projects Company identifies revenue from a long-term construction project under two different methods (a) the completed-contract method or (b) the percentage-of-completion method. The completed-contract method doesn't recognize any revenue until the project is completed. In that period they make out all revenue even though the contract may have required three years to complete. Consequently the completed-contract method recognizes revenues at the time of sale as is true for most sales transactions. Companies hold costs incurred on the project forward in an inventory account (Construction in Process) and charge them to expense in the period in which the revenue is recognized. Some accountants squabble that waiting so long to recognize any revenue is unreasonable. They believe that for the reason that revenue-producing activities have been performed during each year of construction revenue must be recognized in each year of construction even if estimates are needed.


Related Discussions:- Revenue recognition on long-term construction projects

Is fecundation in amphibians external or internal, Is fecundation in amphib...

Is fecundation in amphibians external or internal? In this aspect are amphibians evolutionarily proximal to fishes or to reptiles? In the majority of the amphibian species fec

Describe the plasma membrane of the beta-islet cell, Insulin binding to ins...

Insulin binding to insulin receptors in the plasma membrane of a A. liver cell will lead to an enhance in the intracellular amounts of cAMP in the liver cell. B. beta-islet

Nitrogen control of nitrogen assimilation, Nitrogen Control of Nitrogen Ass...

Nitrogen Control of Nitrogen Assimilation N 2 -fixer like Klebsiella pneumoniae and Nostoc can grow with N 2 , NO - 3 or NH + 4 as nitrogen source. You would like to know

Explain reversion flavor, Reversion flavor:  The rapid oxidation of br...

Reversion flavor:  The rapid oxidation of branched furan fatty acids on exposure to light, leads to the production of an intensive aromatic substance, which along with diacety

Determine the term - essential element, Determine the term - essential elem...

Determine the term - essential element It becomes difficult to meet all the conditions so as to establish essentiality. This is particularly so for the elements that are requir

Mode of nutrition, What is the mode of nutrition of Ascaris?

What is the mode of nutrition of Ascaris?

State the exocytosis in a skeletal muscle, Exocytosis in a skeletal muscle?...

Exocytosis in a skeletal muscle?   A.  During exocytosis in a skeletal muscle, there will be release of calcium ions from intracellular vesicles in the sarcoplasmic reticulum i

Different blood groups in man, Different blood groups in man 1.Blood Gr...

Different blood groups in man 1.Blood Group "A": Persons having this blood group will have antigen "A' on their red blood cells and antibody "B" in their plasma. 2. Blood Gr

Getting ready to grow bacteria, Getting ready to grow bacteria Secure t...

Getting ready to grow bacteria Secure two or three dozen shallow glass dishes. The glass coasters used to stay bed castors from marring floors will do. Cut 5 cm squares of wind

Determine the effective spring constant of the molecule, A Molecule of DNA ...

A Molecule of DNA is 2.17 um long. The ends of the molecule become strongly ionixed: negative on one end, positive on the other. The helical molecule acts like a spring and compres

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd