Johnson Inc was contracted to build a new medical center for the University of Knowledge for a price of $100,000,000. During 2018, the first year of the project, Johnson Inc. spent $27,000,000 and at the end of 2018 they expected to incur another $63,000,000 in future years to finish the medical center. Johnson Inc uses the percentage of completion method.

a.) How much revenue should Johnson Inc recognize at the end of 2018 related to this project?

b.) How much costs should Johnson Inc recognize at the end of 2018 related to this project?