Blossom Construction Corporation contracted to construct a building for $7240000. Construction began in 2024 and was completed in 2025. Data relating to the contract are summarized below: Year ended December 31, 2024 2025 Costs incurred $2805000 $2120000 Estimated costs to complete 1870000 Blossom uses the percentage-of-completion method as the basis for income recognition. For the years ended December 31, 2024, and 2025, respectively, Blossom should report gross profit of O $1539000 and $776000. $1389000 and $926000. $0 and $2120000. $4435000 and $2805000,

Blossom Construction Corporation contracted to construct a building for $7240000. Construction began in 2024 and was completed in 2025. Data relating to the contract are summarized below: Year ended December 31, 2024 2025 Costs incurred $2805000 $2120000 Estimated costs to complete 1870000 Blossom uses the percentage-of-completion method as the basis for income recognition. For the years ended December 31, 2024, and 2025, respectively, Blossom should report gross profit of O $1539000 and $776000. $1389000 and $926000. $0 and $2120000. $4435000 and $2805000,

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter17: Advanced Issues In Revenue Recognition

Section: Chapter Questions

Problem 26E

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