Oriole Construction Company began operations on January 1, 2020. During the year, Oriole entered into a non-cancellable contract with Sheffield Corp. to construct a manufacturing facility. At that time, Oriole estimated that it would take five years to complete the facility at a total cost of $4,480,000. The total contract price for construction of the facility is $6,024,000. During the year, Oriole incurred $1,070,800 in construction costs related to the project. The estimated cost to complete the contract is $4,283,200. Sheffield Corp. was billed and paid 23% of the contract price. The billings are non-refundable. Prepare schedules to calculate the amount of gross profit to be recognized for the year ended December 31, 2020, and the amount to be shown as contract assets or liabilities at December 31, 2020, under each of the following methods.

Completed-contract method. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Oriole Construction Company Computation of Contract Liability choose the accounting period Quarter Ended December 31, 2020Month Ended December 31, 2020Year Ended December 31, 2020
select an item Estimated profit Construction costs incurred during the yearGross profitEstimated costs to completeRevenue recognized Percentage of completionContract liability Partial billings on contract Contract price		$enter a dollar amount
select an item Contract liability Construction costs incurred during the yearContract priceEstimated costs to completeEstimated profit Gross profitPartial billings on contract Percentage of completionRevenue recognized		enter a dollar amount
select a closing name for this schedule Construction costs incurred during the yearContract liability Contract priceEstimated costs to completeEstimated profit Gross profitPartial billings on contract Percentage of completionRevenue recognized		$enter a total amount

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Percentage-of-completion method. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Oriole Construction Company Computation of Gross Profit and Contract Liability choose the accounting period Month Ended December 31, 2020Year Ended December 31, 2020Quarter Ended December 31, 2020
select an item Revenue recognized Estimated profit Contract liability Partial billings on contract Contract priceGross profitCosts to datePercentage of completionEstimated costs to complete				$enter a dollar amount
select an item Estimated profit Contract liability Partial billings on contract Contract price Estimated costs to complete Percentage of completion Gross profit Costs to date Revenue recognized		$enter a dollar amount
select an item Costs to date Contract liability Contract price Gross profit Estimated profit Percentage of completion Revenue recognized Partial billings on contract Estimated costs to complete		enter a dollar amount
				enter a subtotal of the two previous amounts
select a summarizing line for the first part Gross profitContract liability Costs to dateContract priceEstimated costs to completeEstimated profit Partial billings on contract Percentage of completionRevenue recognized				enter a total amount for the first part
select an item Gross profitRevenue recognized Estimated profit Percentage of completionPartial billings on contract Contract liability Contract priceCosts to dateEstimated costs to complete				enter percentages	%
select a closing name for section one Partial billings on contract Gross profitPercentage of completionCosts to dateEstimated costs to completeRevenue recognized Estimated profit Contract priceContract liability				enter a total amount for section one
select an item Percentage of completionContract liability Revenue recognized Partial billings on contract Contract priceCosts to dateEstimated costs to completeEstimated profit Gross profit				$enter a dollar amount
select an item Costs to dateContract liability Contract priceEstimated profit Estimated costs to completeGross profitPercentage of completionPartial billings on contract Revenue recognized				enter a dollar amount
select a closing name for section two Estimated profit Gross profitEstimated costs to completePartial billings on contract Revenue recognized Contract liability Costs to dateContract pricePercentage of completion				$enter a total amount for section two