On March 1, 2014, Pechstein Construction Company contracted to construct a factory building for Fabrik Manufacturing Inc. for a total contract price of $8,091,000. The building was completed by October 31, 2016. The annual contract costs incurred, estimated costs to complete the contract, and accumulated billings to Fabrik for 2014, 2015, and 2016 are given below. 2014 2015 2016

Contract costs incurred during the year $2,773,930 $2,882,630 $1,987,440

Estimated costs to complete the contract at 12/31 3,677,070 1,987,440 0

Billings to Fabrik during the year 3,486,000 3,484,000 1,121,000

(a) 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, 2014, 2015, and 2016. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

2014 Entry field with correct answer $Entry field with correct answer 2773930 Entry field with correct answer Entry field with correct answer 3677070 Entry field with correct answer $Entry field with correct answer 6451000 Entry field with correct answer Entry field with correct answer 43 % Entry field with correct answer $Entry field with correct answer 3479130 Entry field with correct answer Entry field with correct answer 2773930 Entry field with correct answer $Entry field with correct answer 705200 2015 Entry field with correct answer $Entry field with correct answer 5656560 Entry field with correct answer Entry field with correct answer 1987440 Entry field with correct answer $Entry field with correct answer 7644000 Entry field with correct answer Entry field with correct answer 74 % Entry field with correct answer $Entry field with incorrect answer now contains modified data Entry field with correct answer Entry field with incorrect answer Entry field with correct answer $Entry field with incorrect answer 447000 2016 Entry field with correct answer $Entry field with incorrect answer Entry field with correct answer Entry field with incorrect answer Entry field with correct answer Entry field with incorrect answer Entry field with correct answer Entry field with correct answer Entry field with incorrect answer Entry field with correct answer $Entry field with incorrect answer

(b) 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, 2014, 2015, and 2016. 2014 $Entry field with correct answer 2015 $Entry field with correct answer 2016 $Entry field with incorrect answer