Folk Construction Corp. began operations in 2020. Construction activity for 2020 is shown below. Folk uses the completed- contract method. Contract Price Billings Through 12/31/20 Collections Through 12/31/20 Costs to 12/31/20 Estimated Costs to Complete Contract 1 $1,280,000 $1,260,000 $1,040,000 $860,000 2 1,440,000 600,000 400,000 328,000 $752,000 3 1,320,000 760,000 700,000 900,000 480,000 Which of the following should be shown on the statement of financial position at December 31, 2020 related to Contract 2? inventory, $328,000 liability, $272,000 inventory, $272,000 liability, $600,000