E18-18 (Long-Term Contract Reporting) Berstler Construction Company began operations in 2012. Con- struction activity for the first year is shown below. All contracts are with different customers, and any work remaining at December 31, 2012, is expected to be completed in 2013. Total Contract Billings Cash Collections Contract Costs Incurred Estimated Additional through through through Project Price 12/31/12 12/31/12 12/31/12 Costs to Complete 123 $560,000 $ 360,000 $340,000 $450,000 $130,000 670,000 220,000 210,000 126,000 504,000 520,000 $1,750,000 500,000 $1,080,000 440,000 330,000 -0- $990,000 $906,000 $634,000 Instructions Prepare a partial income statement and balance sheet to indicate how the above information would be reported for financial statement purposes. Berstler Construction Company uses the completed-contract method.