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On December 31, 2017, State Construction Inc

Question 10

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On December 31, 2017, State Construction Inc. signs a contract with the state of West Virginia Department of Transportation to manufacture a bridge over the New River. State Construction anticipates the construction will take three years.
The company's accountants provide the following contract details relating to the project:
On December 31, 2017, State Construction Inc. signs a contract with the state of West Virginia Department of Transportation to manufacture a bridge over the New River. State Construction anticipates the construction will take three years. The company's accountants provide the following contract details relating to the project:   During the three-year construction period, State Construction incurred costs as follows:   State Construction uses the cost-to-cost method to recognize revenue. Which of the following represent the revenue recognized in 2018, 2019, and 2020? A)  $225 million, $300 million, $2550 million B)  $60 million, $240 million, $120 million C)  $33 million, $198 million, $99 million D)  $78 million, $468 million, $234 million E)  None of the above During the three-year construction period, State Construction incurred costs as follows:
On December 31, 2017, State Construction Inc. signs a contract with the state of West Virginia Department of Transportation to manufacture a bridge over the New River. State Construction anticipates the construction will take three years. The company's accountants provide the following contract details relating to the project:   During the three-year construction period, State Construction incurred costs as follows:   State Construction uses the cost-to-cost method to recognize revenue. Which of the following represent the revenue recognized in 2018, 2019, and 2020? A)  $225 million, $300 million, $2550 million B)  $60 million, $240 million, $120 million C)  $33 million, $198 million, $99 million D)  $78 million, $468 million, $234 million E)  None of the above State Construction uses the cost-to-cost method to recognize revenue.
Which of the following represent the revenue recognized in 2018, 2019, and 2020?


A) $225 million, $300 million, $2550 million
B) $60 million, $240 million, $120 million
C) $33 million, $198 million, $99 million
D) $78 million, $468 million, $234 million
E) None of the above

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