Citation Builders, Inc., builds office buildings and single-family homes. The office buildings are constructed under contract with reputable buyers. The homes are constructed in developments ranging from 1020 homes and are typically sold during construction or soon after. To secure the home upon completion, buyers must pay a deposit of 10% of the price of the home with the remaining balance due upon completion of the house and transfer of title. Failure to pay the full amount results in forfeiture of the down payment. Occasionally, homes remain unsold for as long as three months after construction. In these situations, sales price reductions are used to promote the sale. During 2011, Citation began construction of an office building for Altamont Corporation. The total contract price is $20 million. Costs incurred, estimated costs to complete at year-end, billings, and cash collections for the life of the contract are as follows: 2011 2012 2013 Costs incurred during the year $ 4,000,000 $ 9,500,000 $ 4,500,000 Estimated costs to complete as of year-end 12,000,000 4,500,000 Billings during the year 2,000,000 10,000,000 8,000,000 Cash collections during the year 1,800,000 8,600,000 9,600,000 -------------------------------------------------------------------------------- Assume that as of year end 2012 the estimated cost to complete the office building is $9,000,000 and that Citation uses the percentage-of-completion method. What is the amount of gross profit or loss to be recognized for the Altamont contract during 2012? (Loss amount should be indicated with minus sign. Omit the "$" sign in your response.) 2012 Gross profit or loss to be recognized $ -------------------------------------------------------------------------------- How much revenue related to this contract will Citation report in the 2012 income statement? (Omit the "$" sign in your response.) 2012 Revenue reported $ -------------------------------------------------------------------------------- What will Citation report in its December 31, 2012, balance sheet related to this contract (ignore cash)? (Omit the "$" sign in your response.) Balance Sheet At December 31, 2012 Current assets: Accounts receivable $ Current liabilities: Billings in excess of costs and profit $