David Ltd. Follows the "percentage of completion" method for recognising revenue on construction contracts. From the fol
Posted: Mon May 30, 2022 8:19 am
- David Ltd Follows The Percentage Of Completion Method For Recognising Revenue On Construction Contracts From The Fol 1 (80.55 KiB) Viewed 23 times
David Ltd. Follows the "percentage of completion" method for recognising revenue on construction contracts. From the following particulars made available to you, you are required to determine the results of contracts X, Y and Z. to be included in the profit and loss account of the company for the year ended 31st March 1994, ($ in dollars) $. $. Contract value 313 1,247.00 80 Advance received and outstanding 20.6 120 3 Value of work certified 250 47 75 Value of work done but not certified 16.5 20 1 Progress of payments received (net of advance recovery) 168 42.3 52 239 75 72 27 9 Costs incurred till 31.3.94 Estimate of Costs to Complete Profits recognised till 31.3.93 Date of commencement 1.5 Expected date of completion 15.4.93 1.10.93 5.8.92 Expected date of completion 15.5.94 1.8.97 30.4.94 ✔