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how to calculate annual revenue of a company
Question
Cooper Construction Company had a contract starting January*3Q13, to construct a $12,000,000 building that is expected to be completed by the end of at an estimatedcost of $11,000,000. At the end of 2013. The costs to date were $5,060,000 and theestimatedtotal costs to complete had not changed. The progress billings during 2013were $2,400,000 and the cash collected during 2013 was 1,600,000. Cooper ConstructionCompany uses the percentage-of-completion method for Revenue recognition.
At December 31, 2013 Cooper would report revenue in the amount of:
a. $460,000
b. $5,060,000
C. $5,520,000
d. $4,720,000
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