Kiewit Corporation is an American construction company based in Omaha, Nebraska founded in 1884. Kiewit Corporation constructed a new subdivision during 2023 and 2024 under contract with Desert Development Company. Relevant data are summarized below: Contract amount Cost: Gross profit: Contract billings: 2023 2024 2023 2024 Multiple Choice 2023 2024 $3,315,000 1,270,000 670,000 905,000 470,000 1,657,500 1,657,500 Kiewit Corporation recognizes revenue upon completion of the contract. In its December 31, 2023, balance sheet, Kiewit Corporation would report: the contract asset, contract amount in excess of billings, of $1,657,500. the contract asset, cost and profits in excess of billings, of $517,500.

Kiewit Corporation is an American construction company based in Omaha, Nebraska founded in 1884. Kiewit Corporation constructed a new subdivision during 2023 and 2024 under contract with Desert Development Company. Relevant data are summarized below: Contract amount Cost: Gross profit: Contract billings: 2023 2024 2023 2024 Multiple Choice 2023 2024 $3,315,000 1,270,000 670,000 905,000 470,000 1,657,500 1,657,500 Kiewit Corporation recognizes revenue upon completion of the contract. In its December 31, 2023, balance sheet, Kiewit Corporation would report: the contract asset, contract amount in excess of billings, of $1,657,500. the contract asset, cost and profits in excess of billings, of $517,500.

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter3: Income Sources

Section: Chapter Questions

Problem 88P

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