Indiana Co. began a construction project in year 1 with a contract price of $300 million to be received when the project is completed. Indiana recognizes revenue using percentage of completion. The following summarizes costs and expected costs for the first two years of the project. What gross profit or loss will Indiana record for year 2?

Year 1 Year 2

Costs incurred 72 million 117 million

Est costs to complete. 168 million 81 million