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Exercise 6-20 (Algo) Long-term contract; revenue recognition over time vs. upon project completion [LO6-9] On June 15. 2024. Sanderson Construction entered into a long-term construction

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Exercise 6-20 (Algo) Long-term contract; revenue recognition over time vs. upon project completion [LO6-9] On June 15. 2024. Sanderson Construction entered into a long-term construction contract to build a baseball stadium in Washington, D.C. for $340 milion. The expected completion date is Aprd 1. 2026, just in time for the 2026 baseball season. Costs incurred and estenated costs to complete at year-end for the life of the contract are as follows (S in miltions): 1. Compute the revenue and gross profit that Sanderson will report in its 2024, 2025, and 2026 income statements telated to this contract, assuming Sanderson recognizes revenue over time according to percentage of completion. 2. Compute the revenue and gross peofit that Sanderson will report in its 2024, 2025, and 2026 income statements related to this contract, assuming this profect does not qualify for revenue recogntion over time. 3. Suppose the estirnated costs to complete at the end of 2025 are $160 million instead of $90 million. Compute the amount of revenue and gross profit of loss to be recognized in 2025, assuming Sanderson recognizes revenue over tirne according to percentage of completion. Complete this question by entering your answers in the tabs below. Compote the revenue and gross profit that Sanderson will report in its 2024, 2025, and 2026 income statements related to this contract, assuming Sanderson recognizes revenue over time according to percentage of completion. Mote: Enter your angwer in militions (i.e, $4,000,000 should be entered as \$4), Loss amounts should be indicited with a minus sign. Use percentages as calculated and rounded in the table below to arrive at your final answer. Compute the revanue and gross profit that sanderson will report in its 2024, 2025, and 2026 income statemcnts related to this contrict, assuming sanderson recogrizes revenue over time accorting to percentage-of compietion. Note: Enter your answer in millions (i.e. $4,000,000 should be thtered as $4 ). Loss amounts should bet inticated with a minus sign. Use percentages as calculated and rounded in the table below to arrive at your final

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