On February 1, 2018, Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,125,000. During 2018, costs of $2,050,000 were incurred, with estimated costs of $4,050,000 yet to be incurred. Billings of $2,560,000 were sent, and cash collected was $2,300,000. In 2019, costs incurred were $2,560,000 with remaining costs estimated to be $3,675,000. 2019 billings were $2,810,000, and $2,525,000 cash was collected. The project was completed in 2020 after additional costs of $3,850,000 were incurred. The companys fiscal year-end is December 31. This project does not qualify for revenue recognition over time. Required: 1. Calculate the amount of revenue and gross profit or loss to be recognized in each of the three years. 2a. Prepare journal entries for 2018 to record the transactions described (credit "various accounts" for construction costs incurred). 2b. Prepare journal entries for 2019 to record the transactions described (credit "various accounts" for construction costs incurred). 3a. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2018. 3b. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2019.

I am on part 3b. I have:

Current assets:

Accounts Receivable $545,000

Current Liabilities:

Billings in excess of costs less loss ??

I need help calculating billings in excess of costs less loss

Reg 1 Req 2A Reg 2B Calculate the amount of revenue and gross pr indicated with a minus sign.) Year 2018 2019 2020 Total Revenue Gross profit (loss) recognized recognized | $ 0 $ op (160,000) 8,125,000 (175,000) $ 8,125,000 S (335,000) Prepare journal entries for 2018 to record the transactions described (credit "various accounts" for construction costs incu entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No Credit Year 2018 General Journal Construction in progress Various accounts Debit 2,050,000 1 2,050,000 Prepare journal entries for 2019 to record the transactions described (credit "various accounts for construction costs ir entry is required for a transaction/event, select "No journal entry required in the first account field.) View transaction list View journal entry worksheet Credit No 1 Year 2019 General Journal Construction in progress Various accounts Debit 2,560,000 2,560,000 Prepare a partial balance sheet to show the presentation of the project as of December 31, 2018. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Balance Sheet At December 31, 2018 Current assets: Accounts receivable 1 $ 260,000 Current liabilities: Billings in excess of costs | $ 510,000 Prepare a partial balance sheet to show the presentation of the project as of December 31, 2019. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Balance Sheet At December 31, 2019 Current assets: Accounts receivable $ 545,000 Current liabilities: Billings in excess of costs less loss