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Revenue is calculated as per percentage of completion method in long term contracts like construction contracts as first of all total cost and revenue is determined and after that it is allocated to specific fiscal year according to the percentage of completion of contract or project
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What is the nature of the unearned revenue?
unearned revenue falls under the head of nominal account and it is definaltel a liability on the organization.
Is unearned revenue an asset or liablility?
Unearned revenue is liability until it is earned and shown under liability side of balance sheet.
What is revenue recognition?
Revenue recognition is an accounting principle that prescribes when companies need to recognize revenue. Under US GAAP as well as IFRS companies need to recognize revenue when they have delivered the goods/rendered the services and payment is reasonably certain.
How discharge a contract?
By performing all obligations under the contract By operation of law By breach By aggreement
Where does unearned service revenue go on a multiple step income statement?
unearned service revenue is on the balance sheet not the income statement so the answer is nowhere. service revenue is on the income statement under revenues.
Is a contract entered into under duress voidable?
There are 3 classes of duress. 1. Duress to person 2. Duress to property 3. Economic Duress Contracts under into under duress to property and economic duress are voidable. Hence the injured party can choose to rescind the contract or affirm it. But for contracts entered into under duress to person, the contract is void at the start. It is treated as though there is no contract.
What is the cost in excess of billing in long term construction contracts?
Cost in Excess of Billing is an Asset Account that means the contract is under-billed. Actual billings are less than Revenue Earned.
Are you under contract in real estate with no document?
If the parties haven't executed a contract signed by both parties then you are not "under contract".
What is frustration of purpose under contract law?
When doing the thing you were supposed to do under the contract would undermine the point of the contract.
Where does rent revenue go on an income statement?
Rent revenue appears under the Non-Operating Revenue Section on the income statement.
How do you evaluate performance in a contract?
performance under a contract must be exactly as it was outlined in the contract
Was Larry bird under contract with phoenix suns?
No he was under contract with the Boston Celtics from 1979-1992.
How do you calculate vat liability under works contract under delhi vat?
how to calculate vat liability under works contract under delhi vat
What was Under armor's revenue in 2011?
600 million
What is contract discharge by mutual consent?
When both parties under a contract agree to end the contract.
Can you get out of a car contract?
Only if both parties agree to dissolve the contract or the contract was an illegal contract or it was signed under duress.
Why a party can be permit to discharge from a contract under the substantial performance?
Because there was a deficit in the way they performed under the contract
