ABC Corp. is a construction company that uses the percentage of completion method. They won a contract to build an apartment building in 2020 for $60,000,000. Record the journal entries relating to each of the events below. Assume that the company has a December 31 year-end and records adjusting entries only at year-end.

a) Actual costs incurred to the end of 2020 were $36,000,000 and all was paid with cash.

b) Billings made to the client amounted to $40,000,000 during the year and all of this was collected in cash.

c) By the end of 2019, it was estimated that remaining costs to complete the project were $18,000,000. Record the entry needed at year end.