On February 1, 2021, Arrow Construction Company entered into a three year construction contract to build a bridge for a price of $8.150,000. During 2021, costs of $2,050,000 were incurred with estimated costs of 14,050,000 yet to be incurred Billings of $2.550,000 were sent and cash collected was $2.300.000 In 2022. costs incurred were $2,550,000 with remaining costs estimated to be $3,675,000.2022 billings were $2.800,000 and $2.525.000 cash was collected. The project was completed in 2023 after additional costs of $3,850,000 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. 2a. Prepare journal enties 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). 3a. 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 nearest whole dollar) Percentages of completion Choose numerator Choose denominator % complete to date 0 + 0 2021 2022 2023 0 2021 Recognized in prior years Recognized in 2021 To date 0 $ 0 5 Construction revenue Construction expense Gross profilios $ 0 2022 Recognized in prior years Recognized in 2022 To date 0 D $ Construction revenue Construction expense Gross profit (los) $ 2023 Recognized in prior years Recognized in 2023 To date a 5 Construction revenue Construction expense Gross profit loss 0 $ Reg 2A