a. 20% down payment upon contract signing as mobilization fee b. Amount billed to client is according to percentage of completion, less portion of the down payment 10% retention fee deductible at the...

Extracted text: a. 20% down payment upon contract signing as mobilization fee b. Amount billed to client is according to percentage of completion, less portion of the down payment 10% retention fee deductible at the last billing C. Required: (1) Entries to record Down payment b. Costs of construction c. Billing to clients а. (2) Determine the balances of the following accounts Construction in progress b. Progress Billings a.


Extracted text: PROBLEM 8-4. CONTRACT WITH MOBILIZATION AND RETENTION FEE Lacson Constructions, Inc. has the following data in its Jobs in Progress Account for the year just ended: Project No. Estimated total cost at completion 12,250,000 Costs to Date Contract Price 103 9,800,000 17,500,000 The company accounts for its large jobs by the percentage of completion method. Billings are done as follows: