Classical Ltd. Began work in 2017 on a contract for $1,250,000. Other data are: red 2017 d out of Costs incurred to date ................. $540,000 $335,000 Estimated costs to complete as of December 31360,000 Billings to date 420,000 1,250,000 Collections to date......... 300,000 1,000,000 If Classical uses the completed -contract method, the gross profit to be recognized in 2018 Select one : a. ) \$850,000 b a) $375,000 C. ) $400,000 d. d) \$1,000,000