HAWK Construction Company is a publicly accountable company that began a contract on January 1, 2019 to build a hotel for a Victoria, B.C. resort for the price of $6,600,000. The hotel is expected to take 3.5 years to complete. For the year ended December 31, 2019, HAWK incurred construction costs of $1,250,000 and the estimated total cost to complete the contract would be an additional $3,750,000. HAWK billed the customer $1,650,000 during the first year and collected $1,450,000 by December 31, 2019. HAWK uses the percentage-of-completion method of revenue recognition. INSTRUCTIONS Question 7 (2 points) Calculate the revenue and gross profit to be recognized for the year ended December 31, 2019