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Hide Page to the Accounting Contract

Hide Page to the Accounting Contract

Aug 6th, 2022

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How to Hide Page to the Accounting Contract

4.7 out of 5

25 votes

In this video, the focus is on the completed contract method in accounting, particularly in the context of long-term contracts. It contrasts this method with the percentage of completion method discussed in a previous video. Under the completed contract method, revenue is not recognized until the contract is fully completed, which could be, for example, at the end of a five-year contract. The video aims to clarify this approach by revisiting elements from the percentage of completion method, highlighting similarities that may help in understanding the completed contract method better. The discussion emphasizes the timing of revenue recognition in relation to contract completion.

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