In 2021, 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 2023. Information related to the contract is as follows: Cost incurred during the year Estimated costs to complete as of year-end Billings during the year Cash collections during the year 2021 $ 1,875,000 5,625,000 1,500,000 1,300,000 2022 $3,375,000 2,250,000 3,750,000 3,100,000 2023 $ 2,475,000 0 4,750,000 5,600,000 Assume that Westgate Construction's contract with Santa Clara County does not qualify for revenue recognition over time. 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 2021 (credit "Various accounts" for construction costs incurred). 2-b. In the journal below, complete the necessary journal entries for the year 2022 (credit "Various accounts" for construction costs incurred). 2-c. In the journal below, complete the necessary journal entries for the year 2023 (credit "Various accounts" for construction costs incurred). 3. Complete the information required below to prepare a partial balance sheet for 2021 and 2022 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. 2021 2022 2023 Cost incurred during the year $ 2,550,000 $3,875,000 $3,250,000 Estimated costs to complete as of year-end 5,750,000 3,250,000 0 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. Cost incurred during the year Estimated costs to complete as of year-end 2021 $ 2,550,000 5,750,000 2022 $3,875,000 4,250,000 2023 $4, 125,000 0 X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 Reg 2A Req 2B Req 2c Req3 Reg 4 Req 5 Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years. (Leave no cells blank - be certain to enter "0" wherever required. Loss amounts should be indicated with a minus sign.) 2023 Revenue 2021 2022 $ X $ 3,000,000 4,100,000 $ 450,000 $ 725,000 $ 2,900,000 X Gross profit (loss) 425,000 X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2B Req 2c Reg 3 Reg 4 Req 5 In the journal below, complete the necessary journal entries for the year 2021 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit 1 2021 Construction in progress 1,875,000 Various accounts 1,875,000 2 2021 1,500,000 Accounts receivable Billings on construction contract 1,500,000 3 2021 Cash 1,300,000 Accounts receivable 1,300,000 4 2021 Cost of construction Construction in progress 1,875,000 450,000 X X Sales revenue 2,325,000 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 2C Reg 3 Reg 4 Req 5 In the journal below, complete the necessary journal entries for the year 2022 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.). No Date General Journal Debit Credit 1 2022 Construction in progress 3,375,000 Various accounts 3,375,000 2 2022 Accounts receivable 3,750,000 Billings on construction contract 3,750,000 3 2022 Cash 3,100,000 Accounts receivable 3,100,000 4 2022 Cost of construction 3,375,000 725,000 X Construction in progress Sales revenue 4,100,000 X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Req 2B Req 2c Reg 3 Req 4 Req 5 In the journal below, complete the necessary journal entries for the year 2023 (credit "Various accounts" for construction costs incurred). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit 1 2023 Construction in progress 2,475,000 Various accounts 2,475,000 2 2023 4,750,000 Accounts receivable Billings on construction contract 4,750,000 3 2023 5,600,000 Cash Accounts receivable 5,600,000 4 2023 Cost of construction 2,475,000 X 425,000 X Construction in progress Sales revenue 2,900,000 X X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 2c Reg 3 Reg 4 Req 5 Complete the information required below to prepare a partial balance sheet for 2021 and 2022 showing any items related to the contract. 2021 2022 $ 200,000 $ 850,000 Balance Sheet (Partial) Current assets: Accounts receivable Construction in progress Less: Billings Costs in excess of billings $ $ 3,000,000 1,500,000 7,100,000 X 5,250,000 $1,500,000 $1,850,000 Current liabilities: Costs in excess of billings $ (375,000) X $ 0