Blossom Construction Company has entered into a non-cancellable contract beginning January 1, 2020, to build a parking complex. It has been estimated that the complex will cost $610,000 and will take three years to construct. The complex will be billed to the purchasing company at $1,010,000. The following data pertain to the construction period.
2020 2021 2022
Costs to date $274,500 $457,500 $620,000
Estimated costs to complete 335,500 152,500 0
Progress billings to date (non-refundable) 274,500 560,000 1,010,000
Cash collected to date 244,500 510,000 1,010,000
Using the percentage-of-completion method, calculate the estimated gross profit that would be recognized during each year of the construction period. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
2020 2021 2022
Gross profit / (loss) $ $ $
Using the completed-contract method, calculate the estimated gross profit that would be recognized during each year of the construction period. (Do not leave any answer field blank. Enter 0 for amounts. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)