On July 1, 2018, your construction company is contracted to build an office building for the City of Scottsdale. You estimate that it would take between 2 and 3 years to complete the building. On December 31, 2020, the building was deemed substantially completed. Following are accumulated contract costs incurred, estimated costs to complete the contract, and accumulated billings to City of Scottsdale for 2018, 2019, and 2020. Total contract price Contract costs incurred to date Estimated costs to complete the contract Billings to City of Scottdale Questions 2018 $1,800,000 1. Using the percentage-of-completion method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2018, 2019, and 2020. (Ignore income taxes.) 2019 At 12/31/18 At 12/31/19 At 12/31/20 $250,000.00 $1,300,000 $2,120,000 1,300,000 700,000 250,000 1,000,000 1,850,000 0 2020 2. Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2018, 2019, and 2020. (Ignore income taxes.) 2018 2019 2020