A construction company entered into a fixed-price contract to build an office bu

A construction company entered into a fixed-price contract to build an office building for $20 million. Construction costs incurred during the first year were $8 million and estimated costs to complete at the end of the year were $8 million. The company recognizes revenue over time according to percentage of completion. How much revenue and gross profit or loss will appear in the company’s income statement in the first year of the contract?(Enter your answer in whole dollars.)   A construction company entered into a fixed-price contract to build an office building for $34 million. Construction costs incurred during the first year were $12 million and estimated costs to complete at the end of the year were $18 million. During the first year the company billed its customer $12 million, of which $5 million was collected before year-end. What would appear in the year-end balance sheet related to this contract using the percentage-of-completion method?(Enter your answers in whole dollars.)   In 2018, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2020. Information related to the contract is as follows:   2018   2019   2020 Cost incurred during the year $ 3,096,000     $ 3,870,000     $ 1,797,400   Estimated costs to complete as of year-end   5,504,000       1,634,000       0   Billings during the year   2,600,000       4,366,000       3,034,000   Cash collections during the year   2,400,000       4,200,000       3,400,000   Westgate Construction uses the completed contract method of accounting for long-term construction contracts. Required: 1. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years. 2-a. In the journal below, complete the necessary journal entries for the year 2018 (credit “Various accounts” for construction costs incurred). 2-b. In the journal below, complete the necessary journal entries for the year 2019 (credit “Various accounts” for construction costs incurred). 2-c. In the journal below, complete the necessary journal entries for the year 2020 (credit “Various accounts” for construction costs incurred). 3. Complete the information required below to prepare a partial balance sheet for 2018 and 2019 showing any items related to the contract. 4. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information.   2018   2019   2020 Cost incurred during the year $ 2,460,000     $ 3,830,000     $ 3,260,000   Estimated costs to complete as of year-end   5,660,000       3,160,000       0   5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information.   2018   2019   2020 Cost incurred during the year $ 2,460,000     $ 3,830,000     $ 3,990,000   Estimated costs to complete as of year-end   5,660,000       4,160,000       0   Reference links · Accounting for Long-Term Contracts opens in a new window Next Visit question map Question 3 of 4 Total3of 4 Prev Joplin Laminating Corporation reported income before income taxes during the first three quarters and management’s estimates of the annual effective tax rate at the end of each quarter as shown below:     Quarter     First Second Third Income before income taxes $ 60,000   $ 50,000   $ 110,000   Estimated annual effective tax rate   34 %   30 %   36 %