Oriole Construction Company began operations on January $1,2025.$ During the year, Oriole Construction entered into a contract with Winds Corp. to construct a manufacturing facility. At that time, Oriole estimated that it would take $5$ years to complete the facility at a total cost of $$4,484,000.$ The total contract price for construction of the facility is $$5,972,000.$ During the year, Oriole incurred $$1,082,400$ in construction costs related to the construction project. The estimated cost to complete the contract is $$4,329,600.$ Winds Corp. was billed and paid $25\%$ of the contract price.

$($a$)$

Your answer is partially correct.

Prepareschedules to compute the amount of gross profit to be recognized for the year ended December $31,2025.$ and the amount to be shown as "costs and recognized profit in excess of billings" or "billings in excess of costs and recognized profit" at December $31,2025,$ under each of the following methods. $($Enter negative omounts using either a negative sign preceding the number e$8.-45$ or parentheses eg$.(45).$ If answer is $0,$ please enter $0.$ Do not leave any fields blank$)$

$($a$)$ Cost$-$recovery method.

Gross profit to be recognized $

ORIOLE CONSTRUCTION COMPANY

Computation of Billings on Uncompleted Contract in Excess of Related Costs under Cost$-$Recovery Method

$

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