| | Revenue 2016 2017 2018 Gross Profit 2016 2017 2018 2. In the journal below, complete the necessary journal entries for the year 2016 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) | 2-b. | In the journal below, complete the necessary journal entries for the year 2017 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) | 2-c. | In the journal below, complete the necessary journal entries for the year 2018 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) | | 3. Complete the information required below to prepare a partial balance sheet for 2016 and 2017 showing any items related to the contract. Indicate whether any of the amounts shown are contract assets or contract liabilities. (Do not round intermediate calculations.) | 4. Calculate the amount of revenue and gross profit to be recognized in each of the three years assuming the following costs incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Loss amounts should be indicated with a minus sign.) | | | | | | 2016 | 2017 | 2018 | | Cost incurred during the year | $ | 2,156,000 | | $ | 3,865,000 | | $ | 3,265,000 | | | Estimated costs to complete as of year-end | | 5,544,000 | | | 3,165,000 | | | 0 | | | | 5. Calculate the amount of revenue and gross profit to be recognized in each of the three years assuming the following costs incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Loss amounts should be indicated with a minus sign.) | | | | | | 2016 | 2017 | 2018 | | Cost incurred during the year | $ | 2,156,000 | | $ | 3,865,000 | | $ | 4,095,000 | | | Estimated costs to complete as of year-end | | 5,544,000 | | | 4,230,000 | | | 0 | | | | | | | | | |
