In $2018,$ the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $$10,000,000.$ The road was completed in $2020.$ Information related to the contract is as follows:

$201820192020$

Cost incurred during the year $ $2,550,000$ $ $4,250,000$ $ $1,870,000$

Estimated costs to complete as of year$-$end $5,950,0001,700,0000$

Billings during the year $2,050,0004,750,0003,200,000$

Cash collections during the year $1,825,0004,100,0004,075,000$

Westgate recognizes revenue over time according to percentage of completion.

Required:

$1.$ Calculate the amount of revenue and gross profit $($loss$)$ to be recognized in each of the three years.

$2-$a$.$ In the journal below, complete the necessary journal entries for the year $2018($credit "Various accounts" for construction costs incurred$).$

$2-$b$.$ In the journal below, complete the necessary journal entries for the year $2019($credit "Various accounts" for construction costs incurred$).$

$2-$c$.$ In the journal below, complete the necessary journal entries for the year $2020($credit "Various accounts" for construction costs incurred$).$

$3.$ Complete the information required below to prepare a partial balance sheet for $2018$ and $2019$ showing any items related to the contract.

$4.$ Calculate the amount of revenue and gross profit $($loss$)$ to be recognized in each of the three years assuming the following costs incurred and costs to complete information.

$201820192020$

Cost incurred during the year $ $2,550,000$ $ $3,825,000$ $ $3,225,000$

Estimated costs to complete as of year$-$end $5,950,0003,125,0000$

$5.$ Calculate the amount of revenue and gross profit $($loss$)$ to be recognized in each of the three years assuming the following costs incurred and costs to complete information.

$201820192020$

Cost incurred during the year $ $2,550,000$ $ $3,825,000$ $ $3,975,000$

Estimated costs to complete as of year$-$end $5,950,0004,150,0000$