Homework Exercise 6-19 (Algo) Long-term contract, revenue recognition over time and at a point in time (LO6-9) Assume Nortel Networks contracted to provide a customer with intemer Infrastructure for $2.200.000 The project began in 2021 and was completed in 2022 Data relating to the contract are summarized below Cost carred during the year Estimated costs to complete as of 12/31 BILA Bring the year Call collections during the year $325,000 $1,700, 1.254,00 1.668.000 1.770.000 Required: 1 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming Nortet recognizes revenue over time according to percentage of completion 2 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming this project does not quality for revenue recognition over time 3. Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming Nortet recognizes revenue over time according to percentage of completion 4. Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming this project does not qualify for revenue recognition over time Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required 4 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming Wortel recognise over time according to percentage of completion or amounts should be indicated with a minus signe percentages as cafelated and rounded the table below to arrive at your finala) Percentages of complet Choose Cosmo Sot 2020 2001 Recognised in priorytars Patogids 2001 5 Construction revenue Constructions Gross profon 3 > 2022 Regedin por par To date Consoren caraNataramae Gross proft 3 3 3 Recured 2 > 5 Homework Exercise 6-19 (Algo) Long-term contract, revenue recognition over time and at a point in time (L06-9) Atsume Nortel Networks contracted to provide a customer with internet infrastructure for $2,200,000. The project began in 2021 and was completed in 2022 Data relating to the contract are summarized below Ceste incurred during the year Litted costs to complete of 12/31 ole during the year Collection during the 2 10. 31. 1264 4, 1. 2. 1.77 Required: 1 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming Norel recognizes revenue over time according to percentage of completion 2 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming the project does not qualify for revenue recognition over time. 3. Prepare a partial balance sheet to show how the information related to the contract would be presented at the end of 2021 assuming Nortel recognizes revenue over time according to percentage of completion 4. Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming this project does not qualify for revenue recognition over me Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required 4 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 ming this project does not qualify for revenue recognition over time. (tons amounts should be indicated with an) Revenue Gross Profil Low 2021 Exercise 6-19 (Algo) Long-term contract; revenue recognition over time and at a point in time (L06-9) Assume Nortel Networks contracted to provide a customer with internet infrastructure for $2.200.000. The project began in 2021 and was completed in 2022. Data relating to the contract are summarized below: costs incurred during the year Estimated costs to complete as of 12/31 01111ngs during the year Cash collections during the year 2021 2022 5 315,000 $1,700,000 1,264,000 400,000 1.668,000 290,20 1,770,000 Required: 1. Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming Nortel recognizes revenue over time according to percentage of completion 2 Compute the amount of revenue and gross profit or loss to be recognized in 2021 and 2022 assuming this project does not quality for revenue recognition over time. 3. Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming Nortel recognizes revenue over time according to percentage of completion 4 Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming this project does not quality for revenue recognition over time Complete this question by entering your answers in the tabs below. Required i Required 2 Required 3 Required 4 Prepare a partial balance sheet to show how the information related to this contract would be presented at the end of 2021 assuming this project does not qualify for revenue recognition over time. Balance Sheet (Partial to At December 31, 2021 Current assets Current liabilities