When losses occur on long-term contracts using the percentage-of-completion method,they are recognized

A) in their entirety as soon as it becomes known that a loss will be suffered.
B) at the completion of the project.
C) proportionately over the contract period using costs incurred as a base.
D) evenly over the contract perioD.

Percentage-Of-Completion Method

An accounting method used to recognize revenues and expenses of long-term projects proportionally to the degree of completion.

Long-Term Contracts

Agreements that extend over a long period, often used in industries like construction or supply services, specifying performance obligations and payment terms.