Which of the following best describes the scope of Completed Contract Method accounting?

The Completed Contract Method (CCM) of accounting is specifically designed for recognizing revenue and expenses associated with long-term contracts. Under this method, income or loss is reported only when the contract is fully completed. This approach allows contractors to defer recognizing expenses until all work on the contract is finished, which is particularly useful in industries where the final outcome can be uncertain until project completion.

By waiting until project completion to recognize income, contractors can maintain a clear and accurate representation of financial performance related to specific contracts. This method is often used by companies that have long-standing contracts or where it is difficult to estimate costs and progress throughout the duration of the project.

In contrast, other methods like ongoing income reporting or percentage of completion address revenue recognition at different stages, which does not align with the principles of the Completed Contract Method. Thus, option C correctly captures the essence of Completed Contract accounting as it emphasizes income or loss recognition at the point when the project is finished.