Page Manufacturing Company uses the percentage of completion method of recognizing income on its long term projects. During 2006, Page agreed to make a specialized production system for $1,000,000. Information relating to the contract is as follows: December 31, 2006: Percentage of completion: 20%, Estimated total costs at completion: $750,000, Income recognized (cumulative): $50,000. December 31, 2007: Percentage of completion: 60%, Estimated total costs at completion: $800,000, Income recognized (cumulative): $120,000. Contract costs incurred during 2007 were Answer
| $320,000. | ||
| $330,000. | ||
| $350,000. | ||
| $480,000. |