单选题 At the beginning of 2007, Thunderbird Company started a 3-year construction project. The following data relates to the project:

A、 Contract price
B、 $ 100 million
C、 Costs incurred in 2007
D、 $ 50 million
E、 Progress billings
F、 $ 40 miIlion
G、 Collection of progress billings
H、 $ 37 million

【正确答案】 A

【答案解析】The completed-contract method must be used under U. S. GAAP since Thunderbird cannot reliably estimate the project' s cost. Under the completed-contract method, no revenue is recognized until the project is complete. Under IFRS, when total cost cannot be reliably estimated, revenue is recognized to the extent that recovering contract costs is probable. Since Thunderbird incurred $ 50 million of cost in 2007, $ 50 million of revenue is recognized.