Accounting for Contracts Over Time $-$ Part D$!$

On January $1,$ Miller Construction Company contracted to build a parking lot for the city of St$.$ Louis for $$1,350,000.$ The following transactions and estimates relate to this contract.

a$.$ Construction costs incurred during the year $$360,000$

b$.$ Progress billings $$342,000$

c$.$ Cash collections $$315,000$

d$.$ Estimated costs to complete $$720,000$

Accounting for Contracts Over Time

On January $1,$ Miller Construction Company contracted to build a parking lot for the city of St$.$ Louis for $$1,350,000.$ The following transactions and estimates relate to this contract.

Required

The company accounts for revenue over time. Compute the percent complete at the end of the first year.

Prepare the journal entries to record $($a$)$ costs incurred, $($b$)$ progress billings, $($c$)$ collections, and $($d$)$ any revenue or expense recognition.

Note: Use the result EXACTLY as displayed above in the calculations below.

Note: If a journal entry isn't required on any of the dates shown, select $"$N$/$A$$debit$"$ and $"$N$/$A$$credit$"$ as the account names and leave the Dr$.$ and Cr$.$ answers blank $($zero$).$