Larsen Construction Company signed a long-term contract for $24,000,000 on January 5, 2016.

It is estimated the costs will be $16,000,000.

The company plans on using the percentage-of-completion method to account for revenue recognition.

Actual construction costs are 2016: $5,600,000; 2017: $6,400,000; 2018: $4,000,000.

Instructions: Show how much gross profit Larsen Company should recognize each year.