1. (12 marks) A project begins in January 2014; it is to be completed in October 2016. The contract price is $3,900 and the estimated total cost of the project is $3,000. Additional data for the project is provided below: 2014 2015 2016 Costs Incurred To Date $ 300 $2,400 $4,200 Estimated cost to 2,700 1,600 Complete Estimated Total Cost $3,000 $4,000 $4,200 Percentage of completion [PC] = (Costs incurred to date)/(Estimated total cost) Required: a. Compute the gross profit/loss recognized for each year under the PC method. (8 marks)