On July $1,2025,$ Wildhorse Construction Company Inc. contracted to build an office building for Indigo Corp. for a total contract price of $$1,880,000.$ On July $1,$ Wildhorse estimated that it would take

between $2$ and $3$ years to complete the building. On December $31,2027,$ the building was deemed substantially completed. Following are accumulated contract costs incurred, estimated costs to complete

the contract, and accumulated billings to Indigo for $2025,2026,$ and $2027.$ Your answer is correct. $($If answer is $0,$ please enter $0.$ Do not leave any fields blank.$)$

$2025$

Costs to Date $(\frac{12}{31}\frac{?}{25})$

Estimated Costs to Complete

Estimated Total Costs

Costs Incurred

Profit $/($Loss$)$ Recognized in $2025$ Using the percentage$-$of$-$completion method, prepare a schedule to compute the profit or loss to be recognized as a result of this contract for the year ended December $31,2026.($Ignore income taxes.$)$

$($If answer is $0,$ please enter $0.$ Do not leave any fields blank.$)$

$2026$ Using the percentage$-$of$-$completion method, prepare a schedule to compute the profit or loss to be recognized as a result of this contract for the year ended December $31,2027.($Ignore income taxes.$)$

$($If answer is $0,$ please enter $0.$ Do not leave any fields blank.$)$

$2027$

$

$$

$

$

$Your answer is incorrect.

Using the cost$-$recovery method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December $31,2025.($Ignore income taxes.$)($If answer is $0,$

please enter $0.$ Do not leave any fields blank.$)$

$2025,$$

eTextbook and MediaUsing the cost$-$recovery method, prepare a schedule to compute the profit or loss to be recognized as a result of this contract for

the years ended December $31,2026.($Ignore income taxes.$)($If answer is $0,$ please enter $0.$ Do not leave any fields blank.$)$

$2026$

eTextbook and Media