Show Qtr. Ending balance of A/R, Unearned Revenue [Liability], Unbilled Rev. [As
ID: 2429933 • Letter: S
Question
Show Qtr. Ending balance of A/R, Unearned Revenue [Liability], Unbilled Rev. [Asset]
You are ClassCo. Calendar Year = Fiscal Year To Do: Show Revevnue, CoGS, Gross Profit for each quarterShow Qtr. Ending balance of A/R, Unearned Revenue [Liability], Unbilled Rev. [Asset]
12/12/2xx1 Conract granted to ClssCo Q4 2xx1$ 5,2OO,00O Contract Value 4OO,0OO Deposit billed $3,9OO,OOO estimated cost to complete Q1 2xx2 $ 200,000 Additional billing 350,000 collected $5,200,00O QE: Est. Total contract revenue at completion $3,900,00O QE: Est. total cost at completiorn 375,OOO cost incured in quarter 700,0OO Additional billing 500,OOO collected Q2 S$ $5,350,00O QE: Est. Total contract revenue at completion $3,9oo,00O QE: Est. total cost at completion 80O,0OO cost incured in quarter 90O,000 Additional billing 400,OOO Collected Q3 $ $5,350,00O QE: Est. Total contract revenue at completion $4,400,00O QE: Est. total cost at completiorn $1,1OO,0OO cost incured in quarter Q4$ 1,000,000 Additional billing 8OO,0OOO collected $5,350,00O QE: Est. Total contract revenue at completion $$ 4,400,00O QE: Est. total cost at completion 775,OOO COSt incured in quarter Q1 2xx3$ 1,000,000 Additional billing 8OO,OOO collected $5,350,00O QE: Est. Total contract revenue at completion $4,400,00O QE: Est. total cost at completionn 91O,oOO cost incured in guarter 950,0O0 Additional billing Q2 S$ $1,70O,0OO collected $ 4,6OO,0O QE: Est. total cost at completion $ 5,150,00O QE: Est. Total contract revenue at completion 640,0OO cost incured in quarterExplanation / Answer
Hey...
I would first say that this is really a very interesting question :)
Now, how to proceed with the question ?
To simplify the question, i have presented the information given in the question in a very condensed way...have a look at it.
I have presneted the data of the question in quarter wise tabular form...
2,00,000
Now, u will be able to correlate with the points given in the question....u also prepare a table like this..
After this i have prepared ledger accounts for you to find out Gross profit, revenue Cost of goods sold....by seeing this ledger account u will understand how we have calculated the relevant account balances..
23,00,000
I hope the question is clear now....always remember that
Gross Profit is Amount of Revenue Billed less the Total Cost Incurred till date.
Do let me knw if you have further doubts wrt this question....happy to help you :)
Previous Y Current Year Next Year Particulars Quarter 4 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Quarter 1 Quarter 2 a Contract Value 52,00,000 52,00,000 53,50,000 53,50,000 53,50,000 53,50,000 53,50,000 b Costs Incurred during the quarter 3,75,000 8,00,000 11,00,000 7,75,000 9,10,000 6,40,000 c Amount Billed 4,00,000 2,00,000 7,00,000 9,00,000 10,00,000 10,00,000 9,50,000 d Amount Collected 3,50,000 5,00,000 4,00,000 8,00,000 8,00,000 17,00,000 e Total Amount billed till date 4,00,000 6,00,000 13,00,000 22,00,000 32,00,000 42,00,000 51,50,000 f Total Amount Collected till date - 3,50,000 8,50,000 12,50,000 20,50,000 28,50,000 45,50,000 g Account Receivable (E-F) 4,00,000 2,50,000 4,50,000 9,50,000 11,50,000 13,50,000 6,00,000 h Quarter End Unbilled Revenue(A-B) 48,00,000 46,00,000 40,50,000 31,50,000 21,50,000 11,50,000
2,00,000