On May 1, 2011, Green Construction Company entered into a fixed-price contract to construct an apartment building for $3,000,000. Green appropriately accounts for this contract under the percentage-of-completion method. Information relating to the contract is as follows:

What is the amount of contract costs incurred during the year ended December 31, 2012?
A) $600,000
B) $960,000
C) $990,000
D) $1,440,000

Question

On May 1, 2011, Green Construction Company entered into a fixed-price contract to construct an apartment building for $3,000,000. Green appropriately accounts for this contract under the percentage-of-completion method. Information relating to the contract is as follows:

What is the amount of contract costs incurred during the year ended December 31, 2012?

What is the amount of contract costs incurred during the year ended December 31, 2012?
A) $600,000 
B) $960,000 
C) $990,000 
D) $1,440,000

Quizplus · Accepted Answer

The Answer of On May 1, 2011, Green Construction Company entered into a fixed-price contract to construct an apartment building for $3,000,000. Green appropriately accounts for this contract under the percentage-of-completion method. Information relating to the contract is as follows:

What is the amount of contract costs incurred during the year ended December 31, 2012?
A) $600,000 
B) $960,000 
C) $990,000 
D) $1,440,000

On May 1, 2011, Green Construction Company Entered into a Fixed-Price