Item$6$

Item $6$

Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $$1,710,000.$ The project was begun in $2023$ and completed in $2024.$ Cost and other data are presented below:

$20232024$

Costs incurred during the year $ $414,000$ $ $1,010,000$

Estimated costs to complete $966,0000$

Billings during the year $460,0001,250,000$

Cash collections during the year $360,0001,350,000$

Assume that Beavis recognizes revenue on this contract over time according to percentage of completion.

Required:

Compute the amount of gross profit recognized during $2023$ and $2024.$