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igomit [66]
3 years ago
14

Gleason Construction enters into a long term fixed price contract to build an office building for $28,000,000. In the first year

of the contract Gleason incurs $5,000,000 of cost and the engineers determined that the remaining costs to complete are $18,000,000.
How much gross profit or loss should Gleason recognize irn Year 1 assuming the use of the completed -contract method?

A. $178,571 loss

B, SO profit

C. $5,000,000 loss

D. $2,500,000 profit
Business
2 answers:
Bond [772]3 years ago
8 0

Answer:

B, $0 profit

Explanation:

Under completed contract method the business postponed all the revenues and expenses associated with the contract until the completion of the contract even if they receive / pay the cash for contract transactions.

In this case no profit and expense will be recognized until the project Completed. So, correct option is B, $0 profit.

Komok [63]3 years ago
3 0

Answer:

Option B,$0 profit is the correct answer.

Explanation:

Using the completed-contract method in contract costing implies that all the revenue as well as the associated contract costs are recognized at the end of the contract period.

Specifically,Gleason construction in the process of constructing ,hence no costs and revenue can be recognized ,they are deferred to the completion date of the contract.

The correct option based above explanation is B,$0 profit

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Jennifer has been highly unproductive at work for the last few weeks and is counseled regarding organizational policies and rule
Anton [14]

Answer: positive

Explanation:

Based on the happening in he question, the method used is the positive discipline approach

This approach seeks ways to help an employee when the employee isn't being productive at his or her workplace. The positive actions are being seeked and necessary ways to bring the worker back to his or her feet will be utilized.

This is the method used in order to being Jennifer back on track and.make her productive again.

7 0
3 years ago
You manage a company that competes in an industry that is comprised of four equal-sized firms that produce similar products. A r
Alja [10]

Explanation:

It is given that in the market there are four equal-sized firms that produce similar products. The market is saturated such that 10% industry-wide price rise would lead to 18% decline in units sold by all firms in the industry. Going further, there is a proposed legislation that imposes a tariff on a key input used by the industry, which on realization would result in the increase in marginal cost by $2.

This means that the market elasticity of demand is:

[ FIND THE ATTACHMENT FOR SOLUTION]

5 0
3 years ago
Baron Corporation has two sequential processing​ departments: Assembly and Shaping. The Shaping Department reports the following
Oksana_A [137]

Answer:

Concerteza é a letra "B"

Explanation:

Espero que esteja errado, mas espero ter ajudado!

8 0
3 years ago
True or false: The National Cancer Society is an example of an organization that does not need to use marketing.
Ipatiy [6.2K]
False i believe is the correct answer,
7 0
2 years ago
Magenta Company purchased a machine from Pink Corporation on October 31, 2016. In payment for the $288,000 purchase, Magenta iss
Aleksandr [31]

Answer:

Option (c) is correct.

Explanation:

Interest expense on Nov 30, 2016:

= (Purchase amount × Rate of interest) ÷ No. of months in a year

= ($288,000 × 12%) ÷ 12

= $2,880

Principal repayment on Nov 30, 2016:

= Monthly payment - Interest expense on Nov 30, 2016

= $25,588 - $2,880

= $22,708

Interest expense on Dec 31,2016:

= (Purchase amount - Principal repayment) × Rate of interest] ÷ No. of months in a year

= ($288,000 - $22,708) × 12%] ÷ 12

= $2,653

Therefore,

Interest expense for the year ended December 31, 2016:

= Interest expense on Nov 30, 2016 + Interest expense on Dec 31,2016

= $2,880 + $2,653

= $5,533

7 0
3 years ago
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