Pronghorn Construction Company began work on a $419,400 construction contract in 2017. During 2017, Pronghorn incurred costs of $280,200, billed its customer for $216,300, and collected $174,500. At December 31, 2017, the estimated additional costs to complete the project total $161,600.
Prepare Pronghorn’s journal entry to record profit or loss, if any, using (a) the percentage-of-completion method
Construction in Process
Revenue from Long-Term Contracts