Exercise 18-34 In 2017, Bonita Construction Corp. began construction work under a 3-year contract. The contract price was $1,060,000. Bonita uses the percentage-of-completion method for financial accounting purposes. The income to be recognized each year is based on the proportion of cost incurred to total estimated costs for completing the contract. The financial statement presentations relating to this contract at December 31, 2017, are shown below. Balance Sheet Accounts receivable Construction in process Less: Billings Costs and recognized profit in excess of billings $17,700 $68,300 61,300 7,000 Income Statement Income (before tax) on the contract recognized in 2017 (a) How much cash was collected in 2017 on this contract? Portion of contract billings collected $16,392 (b) What was the initial estimated total income before tax on this contract? Income before tax on this contract