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Can you please explain what figures make up the 510 in costs recognised in year 2?
Let me guess, without looking at chapter 13.
Is this the three year example of a construction contract working?
In year 2, am I correct in thinking that a loss is forecast?
And within the chapter, does it not say that where a loss is forecast, the FULL amount of that loss should be recognised at the earliest opportunity?
Now, calculate the forecast loss. Put that figure in working 1, third line. You already have filled in the first line with the revenue appropriate percentage. So cost of sales is the missing / balancing figure
Did I guess right?
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Yes you did, thank you! I certainly appreciate your help
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