d. Sb0 16. On January 1, 2018, Ledge Road Construction Co, Inc. entered into a contract to build a highway extension for the State of Florida. As of December 31, 2018, the following information is available for this contract: $10,000,000 $8,000,000 $1,000,000 Contract Price Anticipated Total Costs Costs incurred during 2018 Under the completed contract method for accounting for long-term contracts, how much will the company record as revenue in 2018? $8,000,000 $2,000,000 $1,000,000 $0 . b. . d 17. Using the same information as in Question 16, under the percentage of completion method for accounting for long-term contracts, how much will the company record as revenue in 2018? a. $1,000,000 $250,000 c. $2,000,000 b. 18. In 2002, Argo, Co. bought 10 acres of commercial zoned land for $2,000,000. It sold the land to a developer in 2018 for $5,000,000. The developer paid Argo $1,000,000 at the closing of the sale and gave Argo a promissory note and mortgage for the remaining $4,000,000, plus 5% interest. The note is due in full on 12/31/2019. How much profit will Argo report on the sale for 2018, if Argo uses the installment method to account for this sale? a. $600,000 b. $1,000,000 c. $3,000,000 d. $5,000,000 19. Using the same information as in Question 18, how much profit will Argo report on the sale for 2018, if Argo uses the cost recovery method to account for this sale? a. $300,000 b. $600,000 c. $1,000,000 d. None