ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.26 : In a construction accounting for a biochemical processing plant, $A has been spent to date, and another $B is expected required to complete the construction project. The biochemical processing plant is expected to generate a total revenue of $C. Calculate the : (a) estimated total costs; (b) percentage completion of project; (c) total estimated profit; (d) profit to date.
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Answer Posted / kangchuentat
ACCOUNTING AND FINANCIAL ENGINEERING - ANSWER 34.26 : (a) Costs = $A + $B. (b) Percentage = 100 ($A) / ($A + $B). (c) Total profit = $C - ($A + $B). (d) Profit to date = [ answer (b) ] [ answer (c) ] / 100 = (100 / 100) [ ($A) / ($A + $B) ] [ $C - ($A + $B) ] = ($A) ($C) / ($A + $B) - ($A). The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
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