Bretts Construction Company had a contract starting April 2008, to construct a $6,000,000 building that is expected to be completed in September 2010, at an estimated cost of $5,500,000. At the end of 2008, the costs to date were $2,530,000 and the estimated total costs to complete had not changed. The progress billings during 2008 were $1,200,000 and the cash collected during 2008 was $800,000. Bretts uses the percentage-of-completion method.
-At December 31, 2008, Bretts would report Construction in Process in the amount of
A) $230,000.
B) $2,530,000.
C) $2,760,000.
D) $2,360,000.

Question

Quizplus · Accepted Answer

$2,530,000 + $230,000 = $2,760,000

Bretts Construction Company Had a Contract Starting April 2008, to Construct