Crane Corp. enters into a contract with a customer to build an apartment building for $$800,000.$ The customer hopes to rent

apartments at the beginning of the school year and provides a performance bonus of $$120,000$ to be paid if the building is ready for

rental beginning August $1,2026.$ The bonus is reduced by $$40,000$ each week that completion is delayed. Crane commonly includes

these completion bonuses in its contracts and, based on prior experience, estimates the following completion outcomes.

August $1,2026$

$70\%$

August $8,2026$

$20$

August $15,2026$

$5$

After August $15,2026$

$5$