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On February 1, 2021. Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,000,000. During 2021 ,

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On February 1, 2021. Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,000,000. During 2021 , costs of $2,000,000 were incurred with estimated costs of $4,000,000 yet to be incurred. Billings of $2,500,000 were sent, and cash collected was $2,250,000 In 2022, costs incurred were $2,500,000 with remaining costs estimated to be $3,600,000,2022 billings were $2,750,000, and $2,475,000 cash was collected. The project was completed in 2023 after additional costs of $3,800,000 were incurred. The company's fiscal year-end is December 31. Arrow recognizes revenue over time according to percentage of completion. Required: 1. Compute the amount of revenue and gross profit or loss to be recognized in 2021, 2022, and 2023 using the percentage of completion method. 20. Prepare journal entries for 2021 to record the transactions described (credit "various accounts" for construction costs incurred). 2b. Prepare journal entries for 2022 to record the transactions described (credit "various accounts" for construction costs incurred). 30. Prepare a partial balance sheet to show the presentation of the project as of December 31,2021 . 3b. Prepare a partial balance sheet to show the presentation of the project as of December 31,2022. Complete this question by entering your answers in the tabs below. Compute the amount of revenue and gross profit or loss to be recognized in 2021,2022 , and 2023 using the percentage of completion method. (Do not round intermediate calculations; Loss amounts should be indicated with a minus sign. Round your final answers to the nearnetiwhaile dillariy Prepare journal entries for 2021 to record the transactions described (credit "various accounts" for construction costs incurre entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermedia calculations. Round your answers to the nearest dollar amount.) Journal entry worksheet Prepare journal entries for 2022 to record the transactions described (credit "various accounts" for construction costs incurred). entry is required for a transaction/event, select "No journal entry required" in the first account fleld. Do not round intermediate calculations: Round your answers to the nearest dollar amount.) Journal entry worksheet Record the construction costs. Note: Enter debits before credits. Complete this question by entering your answers in the tabs below. Prepare a partial balance sheet to show the presentation of the project as of December 31,2021 . (Do not round intermediate calculation5. Round your answers to the nearest dollar amount.) Complete this question by entering your answers in the tabs below. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2022. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.)

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