The October WTI crude contract price
on that day was $109.
Last year, the Kyoto and Saitama district courts ordered makers in similar suits to repay 5 percent of the contract prices
In the first case, this happens because the actual dollar price decreases, while in the second case, the dollar value of the increased yen price is less than the contract price
It argued that because the Applegates had the unrestricted right to demand the entire contract price
at any time during the first year, there was in fact full payment during the first year.
31) Nevertheless, the costs properly allocable to such other items and incurred before the end of the year in which final completion and acceptance occurs, as well as a portion of the gross contract price
reasonably allocable to these other items, are to be separated from the long-term contract items and accounted for under a proper method of accounting other than a long-term contract method or the cash method.
It specifies that when the contractor gives a federal agency a price lower than the schedule contract price
for the item, and the order is within the maximum order limitation (MOL), an equivalent price reduction applies to all subsequent sales.
If the new taxpayer accounts for the contract using the PCM, the total contract price
would be any amount the new taxpayer reasonably expects to receive under the contract--consistent with Regs.
The loss adjustment is calculated by comparing the total contract price
with the estimated cost at completion (that is, total cost incurred before the termination, plus the estimated costs to complete the contract if the termination had not occurred): The allowable termination settlement cost then is computed by multiplying the loss adjustment factor by the allowable costs incurred by the contractor excluding settlement costs:
The total contract price
in the gross profit ratio formula includes current and future direct payments.
460(b) on the amount of tax liability deferred or accelerated as a result of overestimating or underestimating total contract price
or contract costs.