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A company used the percentage-of-completion method of
accounting for a four-year construction contract. Which of the
following items would be used to calculate the income
recognized in the second year?
Question 13
During 2004, Mitchell Corp. started a construction job with a
total contract price of $600,000. The job was completed on
December 15, 2005. Additional data are as follows: Under the
completed contract method, what amount should Mitchell
recognize as gross profit for 2005?
Question 14
Which of the following would be reported as program revenues
on a local government's government-wide statement of
activities?
Question 15
Alinas County manages an endowment of $500,000, the
earnings from which are required to be used to maintain the
walking trails in the county parks. During the year, the
endowment received $20,000 in investment earnings, $3,000 of
which was related to earnings from the previous year which
were not received 80 days after the fiscal year end. At the end
of the year, the market value of the endowment was $510,000.
In its fund-based financial statements, how much should the
County recognize in conjunction with this endowment?
Question 16