Computing Revenues under Long-Term Contracts Camden Corporations agreed to build a warehouse for a client at an agreed contract price of $1,440,000. Expected (and actual) costs for the warehouse follow: 2016, $324,000; 2017, $540,000; and 2018, $216,000. The company completed the warehouse in 2018. Compute revenues, expenses, and income for each year 2016 through 2018, and for all three years combined, using the cost-to-cost method.

Computing Revenues under Long-Term Contracts Camden Corporations agreed to build a warehouse for a client at an agreed contract price of $1,440,000. Expected (and actual) costs for the warehouse follow: 2016, $324,000; 2017, $540,000; and 2018, $216,000. The company completed the warehouse in 2018' Compute revenues, expenses, and income for each year 2016 through 2018, and for all three years combined, using the cost-to-cost method. Cost-toCost Method % of total Costs expected Revenue Vear incurred costs recognized Income Total 1 S ' 5