Use the following information to answers questions During 2014, Horn Corp.started a construction job with a total contract price of $700,000.Horn has consistently used the completed contract method.The job was completed on December 15,
-For 2014, what amount should Horn recognize as gross profit?
A)$ 0
B)$80,000
C)$95,000
D)$125,000

Question

Quizplus · Accepted Answer

Under the completed contract method, revenue and gross profit are recognized only when the contract is completed. Since the job was completed in 2015, no gross profit is recognized in 2014.

Use the Following Information to Answers Questions During 2014, Horn