3. Gold City Ltd commences construction of a highway on 1 July 2017 for the NSW Local Government. Gold City Ltd signs a fixed-price contract for total revenues of $60 million. The project is expected to be completed by the end of 2020 and NSW Local Government controls the asset throughout the period of construction. The expected cost as at the commencement of construction is $45 million. The following data relates to the project (the financial years end on 30 June): 2018 ($m) 2019 ($m) 2020 ($m) Costs for the year 15 18 17 15 33 50 Costs incurred to date Estimated costs to complete 35 17 - Progress billings during the year 16 20 24 Cash collected during the year 15 19 26 Required: a) Using the above data, compute the gross profit to be recognised for each of the three years, assuming that the outcome of the contract can be reliably estimated. b) Prepare the journal entries for the 2018 financial year, assuming that the measure of progress on the contract cannot be reliably assessed