One of the more popular input measures used to determine the progress toward completion in the percentage-of-completion method is the
A) revenue-percentage basis.
B) cost-percentage basis.
C) progress completion basis.
D) cost-to-cost basis.

Question

Quizplus · Accepted Answer

The cost-to-cost basis is the best choice because it compares the actual costs incurred to date with the total estimated cost of the project, which provides a more accurate measure of progress toward completion than revenue or cost percentages alone. This method takes into account the actual expenses of a project and adjusts the percentage of completion accordingly.

One of the More Popular Input Measures Used to Determine