A company uses the percentage of completion method to account for its long-term construction projects. The firm incurred costs of $350,000 in the first year of a contract and $200,000 in its second year. The contracted selling price was $1,500,000, and the estimated cost to complete the project was $1,000,000, including costs already incurred. What revenues and earnings should the firm report in the second year? Earnings Revenue $275,000 A. $825,000 B. $100,000 $300,000 C. $275,000 $300,000