Answer:
When accounting for revenue over time for a long-term contract, the percentage of completion used to recognize revenue in the first year usually is determined by measuring Costs incurred in the first year, divided by estimated total costs for the completed project
Explanation:
The percentage of completion method of revenue recognition is a concept in accounting that refers to a method by which a business recognizes revenue on an ongoing basis depending on the stages of a project’s completion.
In other words, the percentage of completion method is used for longer-term projects and recognizes revenue and expenses as a percentage of the project’s completion during the period.
The style that Lucinda is engaging to is a team leader. It is
because a team leader is someone who cares for the group as she or he also
provides guidance and leads to group towards to achieving the task that they
want to achieve because of their common goals.
These kind of expenses are under the capital costs. Capital costs are fixed costs acquired when you build the establishment in order to make it commercially operable. For example, when you want to open up your own clinic, you would have to build your own office and spend money to buy medical equipment and their installation costs. Moreover, you would have to spend on legal works to register and acquire your business permit. These costs are one-time only and incurred at the early stages of your milestones.
The answer to this question is that the contract is voidable. A voidable contract specificallt means that the contract can still be implemented or affirmed or rejected by one of the parties due to valid reasons. A situation where in a contract can be voidable is when the other party is not in the capacity to enter into a contract.
