Exhibit 17-2 the Following Information Relates to a Project of the Cumberland

Multiple Choice

Exhibit 17-2 The following information relates to a project of the Cumberland Construction Company:
The contract price was $1,000,000. Cumberland used the percentage-of-completion method of revenue recognition.

-Refer to Exhibit 17-2. What amount of gross profit was recognized in 2014?

A) $150,000
B) $ 28,571
C) $ 24,000
D) $ 20,400