Casio Co. recognizes construction revenue and expenses using the percentage-of-completion method. During 2016, a single long-term project was begun, which continued through 2018. Information on the project follows:

	2016	2017
12/31 Accounts receivable	$100,000	$300,000
Construction expenses	105,000	122,000
billing during year	100,000	420,000
12/31 CIP BALANCE	142,000	394,000

Profit recognized from the long-term construction contract in 2017 was:

Select one:

a. $108,000

b. $130,000

c. $120,000

d. $272,000

e. $37,000