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 Estimated cost to Complete $ 300 $2,400 $4,200 Estimated Total Cost 2,700 $3,000 1,600 $4,000 $4,200 3 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) Prepare the underlying income statement for year 2015. (4 marks)