Assume Nortel Networks contracted to provide a customer with Internet infrastructure for $2,600,000. The project began in 2016 and was completed in 2017. Data relating to the contract are summarized below:

Compute the amount of revenue and gross profit or loss to be recognized in 2016 and 2017 assuming Nortel recognizes revenue over time according to percentage of completion. (Use percentages as calculated and rounded in the table below to arrive at your final answer. Losses and expenses should be indicated with a minus sign.)

4. Assume the same information for 2016 and 2017, but that as of year-end 2017 the estimated cost to complete the office building is $11,700,000. Citation uses the percentage-of-completion method for its office building contracts. a. How much revenue related to this contract will Citation report in the 2017 income statement? 2018 Revenue reported e reported What is the amount of gross profit or loss to be recognized for the Altamont contract during 2017? (Loss amounts should be indicated with a minus sign.) b. 2017 Gross profit or loss to be recognized c. What will Citation report in its 2017 balance sheet related to this contract? (Ignore cash.) Balance Sheet (Partial) At December 31, 2017 Current assets: Current liabilities