Quiz Chapter 18 - Quiz Chapter 18 Name: _ Dobson...

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Quiz Chapter 18 Name: __________________________ Dobson Construction specializes in the construction of commercial and industrial buildings. The contractor is experienced in bidding long-term construction projects of this type, with the typical project lasting fifteen to twenty-four months. The contractor uses the percentage-of-completion method of revenue recognition since, given the characteristics of the contractor’s business and contracts, it is the most appropriate method. Progress toward completion is measured on a cost to cost basis. Dobson began work on a lump-sum contract at the beginning of 2011. As bid, the statistics were as follows: Lump-sum price (contract price) 4,500,000 $ Estimated costs Labor 510,000 $ Materials and subcontractor 2,320,000 Indirect costs 480,000 Total 3,310,000 Estimated gross proft 1,190,000 $ Billings to date 2,300,000 $ Costs incurred to date - Labor 280,000 $ Materials and subcontractor 1,100,000 Indirect costs 265,000 Total 1,645,000 Latest forecast total cost
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This note was uploaded on 03/27/2012 for the course ACCT 3312 taught by Professor Staff during the Spring '08 term at Texas A&M University, Corpus Christi.

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Quiz Chapter 18 - Quiz Chapter 18 Name: _ Dobson...

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