Citation Bullders, Incorporated, bullds office bulldings and single$-$familly homes. The office bulldings are constructed

under contract whth reputable buyers. The homes are constructed in developments ranging from $10-20$ homes and

are typlcally 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.

Fallure to pay the full amount results in forfelture of the down payment. Occasionally, homes remain unsoid for as

long as three months after construction. In these situations, sales price reductions are used to promote the sale.

During $2024,$ Citation began construction of an office buliding for Altamont Corporation. The total contract price is

$$18$ million. Costs incurred, estimated costs to complete at year$-$end, billings, and cash collections for the life of the

contract are as follows:

Also during $2024,$ Citation began a development consisting of $12$ identical homes. Citation estimated that each

home will sell for $$780,000,$ but individual sales prices are negotiated with buyers. Deposits were recelved for eight

of the homes, three of which were completed during $2024$ and pald for in full for $$780,000$ eoch by the buyers. The

completed homes cost $$585,000$ each to construct. The construction costs incurred during $2024$ for the nine

uncompleted homes totaled $$3,510,000.$

$***$Assume the same information for $2024$ and $2025,$ but that as of year$-$end $2025$ the estimated cost to complete

the office building is $****$$$8,100,000.*****$Citation recognizes revenue over time according to percentage of completion for

its office butlding contracts.

$4-$a$.$ How much fevenue related to this contract will Citation report in the $2025$ income statement?

$4-$b$.$ What is the amount of gross profit or loss to be recognized for the Altamom contract durng $2025?$

$4-$c$.$ What will Craton report in its $2025$ balance sheet related to this contract?$($ignore cashy$)$

Complete this question by entering your answers in the tabs below:

Assume the same information for $2024$ and $2025,$ but that as of year$-$end $2025$ the estimated cost te complete the office

building is $$t,100,000.$ Citation recopnizes revenue over time according to percentage of completion fer ita office building

contracts. How much revenue related to this contract will Citation report in the $2025$ income statement? What is the amount

of gress profit er loss to be recegeised for the Altamont contract during $2025?$

Note: Loss ampunts should be indicated with a minus sign.

$***$ Please, if possible, includes calculations$/$formula$/$excel$,$ so I can understand better!!