On June 15, 2016, Sanderson Construction entered into a long-term construction contract to build a baseball stadium in Washington, D.C., for $360 million. The expected completion date is April 1, 2018, just in time for the 2018 baseball season. Costs incurred and estimated costs to complete at year-end for the life of the contract are as follows ($ in millions): 2016 2017 2018 $ 30 $140 $40 Costs incurred during the year Estimated costs to complete as of 170 80 December 31 Required: 1. Compute the revenue and gross profit will Sanderson report in its 2016, 2017, and 2018 income statements related to this contract assuming Sanderson recognizes revenue over time according to percentage of completion. (Enter your answers in million. Use percentages as calculated and rounded in the table below to arrive at your final answer. Losses and expenses should be indicated with a minus sign.) 2016 2017 2018 Estimated total gross profit (loss) Actual total gross profit (loss) Percentages of completion Choose numerator Choose denominator % complete to date 2016 0 2017 0 2018 100.00% 2016 Recognized in prior years Recognized in 2016 To date Construction revenue Construction expense Gross profit (loss) $ 0 $ 0 0 2017 Recognized in prior years Recognized in 2017 To date Construction revenue $ C Construction expense Gross profit (loss) $ C 0 2018 Recognized in prior years Recognized in 2018 To date Construction revenue $ 0 Construction expense $ 0 Gross profit (loss) 0 2. Compute the amount of revenue and gross profit or loss to be recognized in 2016, 2017, and 2018 using the completed contract method. (Enter your answers in millions.) Revenue Gross Profit (Loss) recognized Year recognized 2016 million million 2017 million million 2018 million million 3. Suppose the estimated costs to complete at the end of 2017 are $170 million instead of $80 million. Compute the amount of revenue and gross profit or loss to be recognized in 2017 using the percentage of completion method. (Do not round intermediate calculations. Enter your answer in millions. Round your answers to 1 decimal place. Losses and expenses should be indicated with a minus sign.) 2017 Estimated total gross loss Percentages of completion Choose numerator Choose denominator % complete to date 2017 2017 Recognized in prior Years Recognized in 2017 To date Construction revenue Construction expense $ 0 C Gross profit (loss) $ 0